TELECOM Digest OnLine - Sorted: Spamhuas Thumbs Nose at Eleven Million Dollar Judgment Against It

Spamhuas Thumbs Nose at Eleven Million Dollar Judgment Against It

Carla K. Johnson AP (ap@telecom-digest.org)
Sat, 16 Sep 2006 14:39:12 -0500

Anti-spam group says will not pay; plans to keep company on spam list
By CARLA K. JOHNSON, Associated Press Writer

The head of an organization that fights unwanted bulk e-mail said
Friday that an Illinois company will remain on its block list despite
a court order and a steep monetary judgment.

A federal judge on Wednesday ordered the Spamhaus Project, an
international anti-spam organization, to pay $11.7 million in damages
to Wheeling-based e360 Insight LLC for blacklisting the company.

U.S. District Judge Charles Kocoras also ordered Spamhaus to post a
notice on its Web site stating that e360 Insight is not a spammer.

The judge's order noted that Spamhaus initially defended the case, but
then withdrew. Without a challenge from Spamhaus, the judge wrote, "we
find that Spamhaus has wrongfully placed Plaintiffs on its blacklist
of companies who have sent spam e-mail."

Spamhaus suggested it did not defend the case because it did not
believe a court in Illinois had jurisdiction over the U.K.-based
organization.

Steve Linford, the head of the U.K.-based Spamhaus, insisted the
company sends spam that is illegal in the United Kingdom and said
Spamhaus will continue to list the Illinois company on its block list.

Internet service providers use Spamhaus lists to help identify
spammers and block e-mail coming from their Internet addresses. The
listing hurt the Illinois company's ability to do business as a direct
e-mail marketer, the lawsuit claimed.

"Spam is a big problem, but the way Spamhaus administers its blocking
technology is not a reasonable solution to this problem," said Dave
Linhardt, president of e360 Insight.

His company signs up people for direct marketing e-mails through its
BargainDepot.net Web site, and the people who sign up can control how
often they receive e-mails and stop them entirely any time, Linhardt
said.

"Our client does not send spam e-mails. Our client only sends e-mail
messages to persons opting in to a list where they agree to accept
e-mail announcements," Bart Loethen, a Chicago attorney representing
e360 Insight, said Friday in a written response to The Associated
Press.

Linford said Spamhaus has no offices, agents or business connections
in Illinois.

"The Illinois court very simply had no jurisdiction," he wrote in an
e-mail to the AP.

Loethen said if Spamhaus ignores the ruling "we will seek alternate
means of enforcing the judgment through the court system in the
U.S. and potentially the U.K."

"Spamhaus is thumbing its nose at the U.S. courts by failing to
participate in the process, failing to provide information in the
court case, and failing to comply with the orders of the court,"
Loethen said.

Copyright 2006 The Associated Press.

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