20 December 2004
Spammers ordered to pay over $1 billion to ISP, Sophos comments
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| The spammers have been ordered to pay over $1 billion. |
A federal judge in the United States has awarded an internet service provider over $1 billion in what is said to be the largest ever judgement against spammers.
Robert Kramer, the owner of CIS Internet Services based in Clinton, Iowa, filed 300 John Doe suits against spammers in 2003. In court documents he claimed that the ISP's email servers received up to 10 million incoming spam emails a day during 2000.
US District Judge Charles R Wolle has filed default judgements against three defendants who failed to attend a defence hearing in November. AMP Dollar Savings of Mesa, Arizona, was ordered to pay $720 million and Cash Link Systems of Miami, Florida, has been ordered to pay $360 million. Another Florida-based company, TEI Marketing Group, was ordered to pay $140,000.
"While spammers are making themselves a tidy profit, they're capable of hitting legitimate businesses like this ISP hard," said Graham Cluley, senior technology consultant for Sophos. "A forceful message has been sent out to spammers by this judgement that their behaviour will not be tolerated - and the penalties for breaking the law can be severe."
The size of the judgement was made possible by an Iowa law that allows victims of spam to claim damages of $10 per spam email. However, although Kramer's lawyers are hopeful that he will be able to recoup his legal costs it seems unlikely that he will successfully claim back the damages.
The lawsuit against other defendants will continue.
Sophos recommends companies protect themselves with a consolidated solution which can defend businesses from the threats of both spam and viruses.


