Traverse Internet Law Federal Court Report: September 2010 Hacking Lawsuits

Traverse Internet Law Disclaimer

The facts are unproven allegations of the Plaintiff and all commentary is based upon the allegations, the truthfulness and accuracy of which are likely in dispute.


MICAH BREDEN and FORESIGHT HOLDINGS, INC. v. TC CORRIHER IMPLEMENT COMPANY, INC., ET AL.
WESTERN DISTRICT OF NORTH CAROLINA (ASHEVILLE)
1:10-CV-00210
FILED: 9/24/2010

This whole problem arose because the retailer signed a three year contract promising to pay 4% of the costs of goods sold through its website each month in exchange for search engine optimization services. These types of agreements are fundamentally problematic because compensation to the search engine optimization service provider is not tied directly to its performance, but rather to the overall performance of the retail website irrespective of the success of the search engine optimization efforts. When you are creating these types of vendor relationship take great care in structuring an agreement that makes sense.

Plaintiff is a search engine optimization company and Defendant is a retailer that hired the Plaintiff to provide search engine optimization services for its retail website. The Defendant, or an agent, is alleged to have obtained a domain name log-in and password through unauthorized access to the Plaintiff’s computers and took possession of disputed domain names.

The lawsuit alleges copyright infringement, unfair and deceptive trade practices, and violation of the Computer Fraud and Abuse Act. Plaintiff requests that the Court grant preliminary and permanent injunctive relief along with actual damages, treble damages, interest, and any other relief the Court deems appropriate. Traverse Internet Law Cross-Reference Number 1446.

Traverse Internet Law Federal Court Report: August 2010 Hacking Lawsuits

Traverse Internet Law Disclaimer

The facts are unproven allegations of the Plaintiff and all commentary is based upon the allegations, the truthfulness and accuracy of which are likely in dispute.


PEARSON EDUCATION, INC. v. RAMEEZ RAZZAQ BALAGAMWALA and SAMAR R. BALAGAMWALA
SOUTHERN DISTRICT OF TEXAS (HOUSTON)
4:10-CV-03038
FILED: 8/24/2010

Don’t use other people’s passwords to gain access to any website. Today most user agreements specifically prohibit the transfer of log-in and password information to third parties and specifically prohibit a third party from accessing the site. There are state and federal civil and criminal laws that are being used today to police this type of conduct.

Pearson is the world’s leading publisher of textbooks and online educational products. The Defendants are residents of Texas who offer to complete students’ homework on Plaintiff’s website for a fee by obtaining the password from the student. This use of a student’s password is unauthorized and contrary to the rules of Plaintiff’s website and is putting at risk Plaintiff’s reputation.

The lawsuit claims violation of the Computer Fraud and Abuse Act, violation of the Texas Computer Crimes Act, trademark infringement, unfair competition, cybersquatting, tortious interference with contractual relations, and fraud. Plaintiff requests preliminary and permanent injunctive relief, transfer of Defendants’ domain names, an accounting of profits, actual damages, treble damages, statutory damages, costs, and attorneys’ fees. Traverse Internet Law Cross-Reference Number 1445.