We reported recently that hackers had claimed they had found an “easy” method of unlocking the Apple iPhone and were willing to share it with the masses of iPhone owners, for a fee.

iphoneunlocking.com was set to release the codes to customers to unlock the iPhone (upon payment of a fee for the service), but has now been stopped in its tracks after receiving a telephone call from a California law firm claiming to represent AT&T.

The firm advised the company that among other issues it could be trampling on AT&T’s legally protected copyright interests and found liable for illegal software dissemination and distribution.

As the courts do not look favorably upon copyright infringement and unauthorized distribution of intellectual property iphoneunlocking.com is waiting to hear from its own lawyers on their next move. Stay tuned: this could get interesting.

Read more here.