Parker v. C.N. Enterprises Press Release - 5/28/97

Austin, Texas, May 28, 1997: Several Internet leaders in Austin, Texas filed a lawsuit yesterday afternoon against a company and an individual believed to be responsible for the mass distribution of junk mail over the Internet, also called "spam." The suit claims that C.N. Enterprises and Craig Nowak of San Diego, California, sent thousands of electronic messages selling information on "Free Cash Grants" for $19.95. The ad's content was not only misleading, the lawsuit claims, but the company's e-mail used a false return address, causing the electronic mail boxes of several Austin residents to overflow with returned copies of the junk mail.

According to the lawsuit, by using a false return address, those who send junk mail over the Internet can avoid the anger that results from this controversial practice. They can also avoid dealing with the thousands of "bounce" messages that result from sending e-mail to invalid or outdated addresses. "In effect," the lawsuit alleges, "C.N. Enterprises deliberately dumped tons of
its electronic garbage and pollution" into the Austin residents' mailboxes. The lawsuit claims that the use of false return addresses on junk e-mail, and the resulting fallout on those who own the addresses used, is illegal under the traditional common law causes of action of nuisance, trespass and conversion.

The lead plaintiff is Tracy LaQuey Parker, a leading Internet author, who owns the Internet domain name used by C.N. Enterprises without her permission. Said Ms. Parker, "As a long-time Internet advocate, I am saddened that the goodwill spirit of the Internet is being spoiled by irresponsible individuals who forge their identity in order to make a quick buck. There are plenty of examples of legitimate commercial uses of the Internet. This isn't one of them."

Joining Ms. Parker in the lawsuit are her husband Patrick Parker and Peter Rauch, both Ms. Parker's business partners. Also joining the suit are Zilker Internet Park, Ms. Parker's Internet service provider, which had to deal with the flood of messages stemming from the "spam," and two active Texas Internet groups, the Texas Internet Service Providers Association (TISPA), a group of commercial Internet service providers, and EFF-Austin, a local Internet civil liberties organization.

John Quarterman, an owner of Zilker Internet Park, stated, "Spam is a large and rapidly growing problem which has cost Zilker Internet Park and many other ISPs and Internet users much time and money. We have put many technical blocks in place to limit it. With this lawsuit, we are taking the next step to help stop this abuse of the Internet."

TISPA and EFF-Austin joined the lawsuit in an effort to broaden the legal precedent beyond Ms. Parker's single Internet domain name, according to Gene Crick, TISPA's president. "Increasingly, 'spammers' are using false return addresses to avoid taking full responsibility for the harm caused by their unsolicited commercial e-mail," Crick said. "These forgeries dump huge
volumes of unwanted junk mail onto Internet companies and their customers. TISPA would like to see the court grant a broad and clear injunction prohibiting this practice."

The lawsuit was filed on behalf of LaQuey and the others by Pete Kennedy and Roger Williams of George, Donaldson & Ford, L.L.P. of Austin. Among its other Internet related cases, the law firm has been involved in lawsuits against the United States Secret Service and Simon Leis, the Hamilton County (Ohio) Sheriff, over the seizure of private e-mail.