Developments of Note

Online service provider Yahoo! entered into an Assurance of Discontinuance agreement with the New York State Attorney General, promising to change several marketing practices announced last year as part of a new preferences program. In the Matter of Yahoo! Inc. (Agreement dated Sept. 24, 2003). In March 2002, Yahoo! announced changes to its marketing program that would have included in Yahoo!'s telemarketing and e-mail campaigns consumers who had already opted out when they registered, unless they affirmatively opted out again. Among other things, the agreement forbids Yahoo! from telemarketing to users who had previously opted out, and requires that Yahoo! provide all users additional notice of the marketing changes and an additional opportunity to opt out of receiving e-mail promotions. Additionally, Yahoo! agreed to pay $75,000 to cover the costs of the investigation.

On Oct. 28, the Librarian of Congress announced four classes of works that are exempted from the anti-circumvention provisions of the Digital Millennium Copyright Act (DMCA). The four limited classes are: 1) lists of sites blocked by commercial Internet filtering software; 2) computer programs protected by hardware dongles that are broken or obsolete; 3) computer programs or video games that use obsolete formats or hardware; and 4) e-books that prevent read-aloud or other handicapped access formats from functioning. Many critics of the DMCA had urged further exemptions that would have allowed the circumvention of copyright protections in more situations where the user engages in noninfringing uses of the works.

On Sept. 23, California Governor Gray Davis signed legislation that is perhaps the most far-reaching anti-spam law in the nation. The new law is worded broadly to prohibit any person or entity from sending an unsolicited commercial e-mail advertisement either “from California” or “to a California electronic mail address.” It also prohibits “advertising” in such e-mails. Individual recipients, Internet service providers and the state attorney general are authorized to pursue actions against violators, with liquidated damages of up to $1 million per spamming incident. The new law is set to take effect on Jan. 1, however, court challenges are anticipated.

Yahoo! Enters Agreement with NY Attorney General on Marketing Practices

Online service provider Yahoo! entered into an Assurance of Discontinuance agreement with the New York State Attorney General, promising to change several marketing practices announced last year as part of a new preferences program. In the Matter of Yahoo! Inc. (Agreement dated Sept. 24, 2003). In March 2002, Yahoo! announced changes to its marketing program that would have included in Yahoo!'s telemarketing and e-mail campaigns consumers who had already opted out when they registered, unless they affirmatively opted out again. Among other things, the agreement forbids Yahoo! from telemarketing to users who had previously opted out, and requires that Yahoo! provide all users additional notice of the marketing changes and an additional opportunity to opt out of receiving e-mail promotions. Additionally, Yahoo! agreed to pay $75,000 to cover the costs of the investigation.

On Oct. 28, the Librarian of Congress announced four classes of works that are exempted from the anti-circumvention provisions of the Digital Millennium Copyright Act (DMCA). The four limited classes are: 1) lists of sites blocked by commercial Internet filtering software; 2) computer programs protected by hardware dongles that are broken or obsolete; 3) computer programs or video games that use obsolete formats or hardware; and 4) e-books that prevent read-aloud or other handicapped access formats from functioning. Many critics of the DMCA had urged further exemptions that would have allowed the circumvention of copyright protections in more situations where the user engages in noninfringing uses of the works.

On Sept. 23, California Governor Gray Davis signed legislation that is perhaps the most far-reaching anti-spam law in the nation. The new law is worded broadly to prohibit any person or entity from sending an unsolicited commercial e-mail advertisement either “from California” or “to a California electronic mail address.” It also prohibits “advertising” in such e-mails. Individual recipients, Internet service providers and the state attorney general are authorized to pursue actions against violators, with liquidated damages of up to $1 million per spamming incident. The new law is set to take effect on Jan. 1, however, court challenges are anticipated.