Justia Internet Law Opinion Summaries

Facebook filed suit against Power over a promotional campaign where Power accessed Facebook users’ data and initiated form emails and other electronic messages promoting its website. The court concluded that Power did not violate the Controlling the Assault of Non-Solicited Pornography and Marketing Act of 2003 (CAN-SPAM), 15 U.S.C. 7706(g)(1), because neither e-mails nor internal messages sent through Power’s promotional campaign were materially misleading. Therefore, the court reversed the district court's judgment as to this claim and remanded for entry of judgment for defendants. The court held that a defendant can run afoul of the Computer Fraud and Abuse Act of 1986 (CFAA), 18 U.S.C. 1030(a)(2)(C), when he or she has no permission to access a computer or when such permission has been revoked explicitly. The court also held that a violation of the terms of use of a website - without more - cannot be the basis for liability under the CFAA. In this case, after receiving the cease and desist letter from Facebook, Power intentionally accessed Facebook’s computers knowing that it was not authorized to do so, making Power liable under the CFAA. Therefore, the court affirmed in part the holding of the district court with respect to the CFAA. The court also affirmed in part the district court’s holding that Power violated California Penal Code section 502 where Power knowingly accessed and without permission took, copied, and made use of Facebook’s data; affirmed the district court’s holding that Power's CEO, Steven Vachani, is personally liable for Power’s actions; and affirmed the discovery sanctions imposed against Power for non-compliance during a Rule 30(b)(6) deposition. However, the court vacated the injunction and the award of damages, remanding the case to the district court to reconsider appropriate remedies. View "Facebook, Inc. v. Vachani" on Justia Law

Telesocial, a San Francisco start-up, entered into a non-disclosure agreement (NDA) regarding a possible agreement to acquire Telesocial's software application named "Call Friends." This dispute stems from Telesocial's allegations that Orange violated federal and state laws by stealing Telesocial's technology to create its own product called "Party Call." Orange and its employees seek a writ of mandamus under 28 U.S.C. 1651 directing the district court to vacate its order denying Orange’s motion to dismiss, and direct an entry of judgment dismissing Telesocial’s First Amended Complaint (FAC). The court applied the Bauman v. United States factors and concluded that the district court did not commit clear legal error in determining that the NDA did not cover the claims at issue; Orange has the ability on direct appeal to attain the relief it desires; Orange will not be prejudiced in a way that is not correctable on appeal; and the district court’s decision does not raise a novel issue that affects the international business community. Accordingly, the court denied Orange’s petition for writ of mandamus. View "Orange, S.A. v. USDC for the Northern Dist. of CA, San Francisco" on Justia Law