Tuesday, March 11, 2008

MySpace's Bots Claim Fails, but Its Others Win Preliminary Injunction

MySpace, Inc., purveyor of the popular social networking Web site myspace.com, sued Wallace, operator of the Web sites, freevegasclubs.com and real-vegassins.com, under the federal CAN-SPAM Act[1] and under California state law.[2] MySpace alleged that Wallace set up some 11,000 fictitious MySpace accounts through “bots,” or automated software means, and then used those accounts to send numerous unsolicited email messages, or spam, regarding its gambling sites to legitimate MySpace account holders. This spam allegedly circumvented the terms of use governing behavior on myspace.com.

MySpace sought and prevailed, in part, in obtaining a preliminary injunction against Wallace. Under 15 U.S.C. § 7704(b)(2), however, did not prevail because the Court held that MySpace was not likely to succeed on the merits of its bot-related claim because it failed to provide adequate evidentiary support demonstrating Wallace’s set-up of the subject accounts could only have been achieved by bots.

The case citation is MySpace, Inc. v. Wallace, 498 F. Supp. 2d 1293 (C.D. Cal. 2007).

For more reporting and information on this case against the so-called "Spam King," please click Bloomberg.com.

In 2004, the Federal Trade Commission sued Wallace and SmartBot.Net on consumer protection violations. For the order of default judgment, permanent injunction, and other equitable relief in that case, please click here.

[1] MySpace, Inc. v. Wallace, 498 F. Supp. 2d 1293, 1299 (C.D. Cal. 2007) (citing 15 U.S.C. §§ 7704(a)(1), (3), (5) and (b)(2)).
[2] Id. (citing Cal. Bus. & Prof. Code § 17529.5, §§ 22984 et. seq. & §§ 17200 et seq., and §§ 17500 et seq.).

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