Who Pays when a Hacker Steals Money from a Business Bank Account?

Digital Media Lawyer Blog:  “a Maine construction sued its bank for failing to prevent hackers from transferring some $588,000 in company funds to co-conspirators throughout the U.S.  This case bears watching because it may well test the conclusion of the court in Shames-Yeakel v. Citizens Financial Bank that a bank’s failure to use multi-factor authentication procedures for wire transfers may not constitute a reasonable business practice.  It should also test the effect of a clause in the bank’s contract with the construction company, requiring the company to monitor and immediately report questionable transfers to the bank.”

See also “Maine Firm Sues Bank After $588,000 Cyber Heist.”

Chamber of Commerce Sues ‘Yes Men’ for Fake News Conference

National Law Journal:  “A group of pranksters called the Yes Men is facing a lawsuit for impersonating the U.S. Chamber of Commerce at a news conference.  The Chamber is suing the Yes Men for trademark infringement, unfair competition, false advertising and cyberpiracy, according to the Wall Street Journal’s Washington Wire blog. The suit (PDF posted by the Washington Wire) was filed late Monday in federal court in Washington, D.C.

AT&T, Google Battle Over Web Rules

Wall St. Journal:  “There’s nothing neutral in the battle between AT&T Inc. and Google Inc. over the future of the Internet.  Google, the powerhouse of Silicon Valley, and AT&T, champion for the old-line phone industry, are marshaling political allies, lobbyists and—in AT&T’s case—labor unions for a fight over proposed “net neutrality” rules that could affect tens of billions of dollars in investments needed to upgrade the U.S. broadband network, which lags in speed and affordability compared with some countries.”

Court Rejects Defamation Claim Against Facebook Premised on “Ownership” of User Content

Citizens Media Law Project:  “Back in February, Denise Finkel, a 2008 graduate of Oceanside High School on Long Island, sued four of her former high school classmates and their parents after the students created a private Facebook group called “90 Cents Short of a Dollar,” which allegedly contained false and defamatory statements about her.  Rather surprisingly, Finkel also sued Facebook, claiming that the über-popular social network should be held liable for publishing the defamatory statements because it “should have known that such statements were false and/or have taken steps to verify the genuineness” of the statements. Complaint ¶ 28. (The complaint also alleges that the students’ parents are liable for negligently failing to supervise their children.)”

Tennessee Court Says Couple Entitled to Unmask Anonymous Blogger

Citizens Media Law Project:  “A Tennessee state court ruled earlier this month that plaintiffs Donald and Terry Keller Swartz are entitled to discover the identity of the anonymous blogger behind the Stop Swartz blog who published critical statements about them and encouraged readers to post information on their whereabouts and activities. In his decision, Judge Thomas W. Brothers adopted a legal standard highly protective of anonymous online speech, but found that the Swartzes had come forward with sufficient evidence in support of their claims of wrongdoing to outweigh the anonymous blogger’s right to anonymity.”

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