Remember that whole kerfuffle over the lost and subsequently stolen/unreturned iPhone 4 prototype, which an Apple engineer left at the bar Gourmet Haus Staudt in Redwood City on March, 2010? You may recall that the guy who found the phone subsequently sold it to Gizmodo for $5K, and that Gizmodo editor Jason Chen subsequently had his computers seized by police. Well, now the case is hitting the courts, and we find that the two dudes who negotiated the sale, Brian Hogan, 22, of Redwood City and Sage Wallower, 28, of Emeryville, are being charged with misdemeanors and could face a year in jail, but Chen and Gizmodo are getting off scott-free after citing their First Amendment rights.

An attorney for Hogan says, "Although we do not believe that charges of any kind should have been filed, Brian fully accepts responsibility for his actions."

The two men will be arraigned San Mateo County Superior Court on August 25. Meanwhile, Gizmodo is dying to get their hands on an iPhone 5.

[Chron]