Computer underground Digest Wed Nov 8, 1995 Volume 7 : Issue 88 ISSN 1004-042X Editors: Ji

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Computer underground Digest Wed Nov 8, 1995 Volume 7 : Issue 88 ISSN 1004-042X Editors: Jim Thomas and Gordon Meyer (TK0JUT2@MVS.CSO.NIU.EDU Archivist: Brendan Kehoe Shadow Master: Stanton McCandlish Field Agent Extraordinaire: David Smith Shadow-Archivists: Dan Carosone / Paul Southworth Ralph Sims / Jyrki Kuoppala Ian Dickinson Cu Digest Homepage: CONTENTS, #7.88 (Wed, Nov 8, 1995) File 1--CORRECTION in CuD SUB/UNSUB Policy (address change) File 2--Computer Security Day File 3--Call for Papers (fwd) File 4--ART Technology to be included in Frontier's browser File 5--Riddler is looking for home pages... File 6--Re: Web Site Ratings (fwd) File 7--Last Chance to register for "Computers & the Law II" File 8--The Computer Law Report (Nov 6, 1995: #13) File 9--Cu Digest Header Info (unchanged since 5 Nov, 1995) CuD ADMINISTRATIVE, EDITORIAL, AND SUBSCRIPTION INFORMATION APPEARS IN THE CONCLUDING FILE AT THE END OF EACH ISSUE. --------------------------------------------------------------------- Date: Wed, 8 Nov 1995 21:32:45 CST From: CuD Moderators Subject: File 1--CORRECTION in CuD SUB/UNSUB Policy (address change) In a previous message we printed the wrong address for subs and unsubs to CuD. Here is the corrected version: ++++++++++++++ CHANGES IN CuD SUBSCRIPTION POLICY: Sadly, the size of the CuD mailing list has become to large to manage manually. Therefore, after November 5, we WILL NO LONGER ACCEPT MANUAL SUBS. So, please DO NOT SEND sub requests to the moderators. Instead: To SUBSCRIBE to CuD, send this message: sub cudigest firstname lastname (where "firstname" and "lastname" is YOUR first and last name) Send this message to: We strongly encourage readers to obtain CuD from USENET as Or, obtain it from any of the CuD web or ftp sites (the CuD homepage is: To UNSUB from CuD, send this message: unsub cudigest to: The UIUC listserv will change addresses in January, '96, so we will notify readers when the change occurs. We apologize for any inconvenience this causes, but we're simply unable to keep up with the demands. Jim and Gordon ------------------------------ From: rxm8@PO.CWRU.EDU(Ron Moritz) Subject: File 2--Computer Security Day Date: 30 Oct 1995 18:24:30 GMT ++++++++++++++++++++++++++++++++++++++++++++++++ Security, Electronic Commerce, and the Internet: Impact on Industry CWRU & ISSA North Coast Chapter International Computer Security Day Symposium Thursday, November 30, 1995 ++++++++++++++++++++++++++++++++++++++++++++++++ Companies can no longer overlook the role that electronic commerce will play in their business. Those with systems on the Internet must think about how to protect what they put up. On Thursday, November 30, 1995, Case Western Reserve University and the North Coast Chapter of the Information Systems Security Association will be observing International Computer Security Day with a unique symposium designed to help you understand the electronic marketplace. Whether your goals include enhancing customer service, increasing marketing effectiveness, or promoting products and services, you will want to join us as we explore the Internet as an emerging force on industry. "If you think that technology will suddenly make the world more secure, you're wrong." (Tim Berners-Lee, Director, W3 Consortium) ++++++++++++++++++++++++++++++++++++++++++++++++ Security, Electronic Commerce, and the Internet: Impact on Industry CWRU & ISSA North Coast Chapter International Computer Security Day Symposium Thursday, November 30, 1995 ++++++++++++++++++++++++++++++++++++++++++++++++ This symposium will bring together industry leaders and technology revolutionaries who will share their vision of the maturation of the Internet as a tool for commerce; and it will teach you how to participate in this revolution in a rational, professional, and secure way. Our speakers include: Dr. Vijay Ahuja, Product Manager, Network Security Products IBM (Research Triangle Park, NC) Dr. Frederick B. Cohen, Ph.D., President Management Analytics (Hudson, OH) Mr. John Gage, Director, Science Office Sun Microsystems Computer Corp. (Mountain View, CA) Dr. Erik Grimmelmann, Marketing Vice President, Gateway Services AT&T Mr. Leo A. McCloskey, networkMCI Consulting Group MCI Telecommunications Corporation (Pittsburgh, PA) Mr. Daniel E. White, Partner, IS Security Effectiveness Series Ernst & Young LLP (Chicago, IL) Objective: Today's Internet is a business tool that lets information cross geographical and functional boundaries. Everyone is talking about it, you've read about it in the newspapers, and you've watched it on television news programs. You want to establish a business presence on the Internet, you want to take advantage of this capability, and you want to use the Internet for electronic commerce; but you're concerned about your exposure. After all, everyone from The New York Times to The Los Angeles Times has told you that flaws in network technologies threaten the security of commercial transactions over the global Internet. What do you do? Who: This symposium is designed for corporate strategists, policy makers, marketing executives, and information technology professionals (including technology planners, communications and network managers, information security managers, and technology auditors). Others interested in the worldwide adoption of the Internet for commercial use are also invited to attend. When: Thursday, November 30, 1995, 8:00 a.m. - 5:00 p.m. Where: Thwing Center, Case Western Reserve University, 11111 Euclid Avenue, Cleveland, Ohio. Lunch: Grand Foyer, Severance Hall, 11001 Euclid Avenue, Cleveland, Ohio. Lunch Panel: Network Security: Do You Know Who's Breaking in Right Now? Polls, newspaper articles, and professionals have all suggested that the primary concern of Internet users world wide is the potential for unauthorized access to their potential or proprietary information. This issue threatens to slow or limit the worldwide adoption of the Internet for commercial use. The lack of security touches all of those who are concerned about copyright, individual privacy, and personal freedom. What progress has been made? Is this a solvable problem? Do Internet users have to sacrifice their open, freewheeling culture in order to provide necessary security for the Net? Does this commercialization work in the current architecture of the Internet? Do we have a choice? These are the questions our moderator will pose to our distinguished group of industry and technology leaders, each of whom has a large stake in the outcome of this debate. This should be a fiery discussion! Information: Ron Moritz, CWRU/ISSA CSD Symposium Chair, or 216.368.6643. ++++++++++++++++++++++++++++++++++++++++++++++++ Security, Electronic Commerce, and the Internet: Impact on Industry CWRU & ISSA North Coast Chapter International Computer Security Day Symposium Registration Form Thursday, November 30, 1995 +++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ Name: ______________________________________________________ Title: ______________________________________________________ Company: ______________________________________________________ Address: ______________________________________________________ City/State/Zip: ________________________________________________ e-mail address: ________________________________________________ Business Phone: _____________________ Fax: _____________________ ====================================== THERE WILL BE NO WALK-IN REGISTRATION! ======================================= REGISTRATION DEADLINE: NOVEMBER 27, 1995 ========================================= Pre-register before November 15, 1995, and receive a 1995 ACM Computer Security Day Poster Seminar Fees (check all boxes that apply): __ Seminar fee (includes facility costs, lunch, breaks, and parking). . . . . . . . . . . . . . . . . . . . . . . . . $95.00 __ Less CWRU faculty/staff, ISSA member discount . . . . . . . ($10.00) Amount Enclosed: $____________ ========================================================== [Make Checks Payable to: Case Western Reserve University] ========================================================== Lunch selection (check only one box): __ Chicken breast stuffed with apple hazelnut dressing on a Chardonnay cream sauce __ Vegetable lasagna with wild mushrooms and Italian cheeses layered with roasted garlic marinara __ Cold marinated shrimp, scallop and New Zealand mussel salad with artichokes and mushrooms MAIL REGISTRATION & PAYMENT TO: Dean E. Fear, CPA Office of Internal Audits c/o Case Western Reserve University 10900 Euclid Avenue, Baker 120 Cleveland, OH 44106-7007 For additional information: Ron Moritz CWRU/ISSA CSD Symposium Chair by telephone: (216) 368-6643 by facsimile: (216) 368-5466 by e-mail: ++++++++++++++++++++++++++++++++++++++++++++++++ Security, Electronic Commerce, and the Internet: Impact on Industry CWRU & ISSA North Coast Chapter International Computer Security Day Symposium Agenda Thursday, November 30, 1995 ++++++++++++++++++++++++++++++++++++++++++++++++++++ 8:00 - 8:30 Registration & Continental Breakfast (Thwing Student Center, Ballroom) 8:30 - 8:35 Opening Welcome - Mr. Ron Moritz, CWRU/ISSA CSD Symposium Chair 8:35 - 8:45 CWRU Welcome 8:45 - 9:00 Dr. Raymond K. Neff, Vice President for Information Services, CWRU 9:00 - 9:45 Mr. John Gage, Director, Science Office, Sun Microsystems Computer Corporation 9:45 - 10:30 Mr. Daniel E. White, Partner, Ernst & Young LLP 10:30 - 11:00 Stretch Break / Vendor Room Open 11:00 - 12:00 Dr. Frederick B. Cohen, Ph.D., President, Management Analytics 12:00 - 2:00 Lunch (Sammy's Catering, Grand Foyer, Severance Hall) 1:00 - 1:45 Lunch Panel Discussion Moderated by Mr. John Gage (Grand Foyer, Severance Hall) 2:00 - 2:45 Dr. Vijay Ahuja, Product Manager, Network Security Products, IBM 2:45 - 3:30 Dr. Erik Grimmelmann, Marketing Vice President, AT&T Gateway Services 3:30 - 3:45 Stretch Break / Vendor Room Open 3:45 - 4:30 Mr. Leo A. McCloskey, networkMCI Consulting Group, MCI Telecommunications 4:30 - 4:35 Closing Remarks - Mr. Ron Moritz, CWRU/ISSA CSD Symposium Chair 4:35 - 5:00 Vendor Room Open ++++++++++++++++++++++++++++++++++++++++++++++++ Security, Electronic Commerce, and the Internet: Impact on Industry CWRU & ISSA North Coast Chapter International Computer Security Day Symposium Speakers Thursday, November 30, 1995 ++++++++++++++++++++++++++++++++++++++++++++++++++++++ Dr. Vijay Ahuja, IBM Vijay Ahuja holds Master's and Doctoral degrees in Computer Science from the University of North Carolina. He has worked with IBM in various positions, related to data communications, networking and networking architecture. He is currently the Product Manager for Network Security Products in the Network Software Division of IBM. Dr. Ahuja has product responsibility as well as responsibilities relating to IBM direction for security related products. He has written several papers on networking, and has authored a text book on Data Network published by McGraw-Hill. Dr. Ahuja has spoken on network security, single signon, firewalls, NetSP and DCE and how they all fit together. He will talk about Internet security and secure commerce on the Internet. In addition, he will discuss security issues for the Internet and describe the technologies to address them. Dr. Frederick B. Cohen, Ph.D., Management Analytics Frederick B. Cohen is world renowned for his ground breaking work on information systems and networks. He has authored over 50 scientific articles and several widely read books, and in 1989, he won the prestigious international Information Technology Award for his work. As a nationally recognized authority on information infrastructure, he regularly provides consulting services for top management. His clients include many Fortune 500 companies, government agencies, universities, and other organizations. He has participated in studies ranging from designing the next generation of cable television and telephone systems, to securing global financial institutions as they attach to the National Information Infrastructure. Dr. Cohen will discuss the why and how of organizational information protection by describing dependencies on information and information systems, exploring modern risks associated with these dependencies, discussing causes of protection-related failures and motivation behind malicious attacks on information technology, and suggesting ways organizations can meet the challenges. Mr. John Gage, Sun Microsystems Computer Corporation John Gage works for Bill Joy, the Chief Technical Officer of Sun, and is responsible for Sun's relationships with the world scientific and public policy communities, international scientific institutions and groups developing new forms of scientific research involving computing. He is on the scientific and advisory panels of the United States National Science Foundation, the US Congress Office of Technology Assessment, the European Institute of Technology and the United States National Academy of Sciences. He has recently been appointed to the US National Research Council Mathematical Sciences Education Board. He attended the Harvard Business School and the Harvard Graduate School of Public Policy. He did doctoral work in economics and mathematics at the University of Berkeley at the same time as Bill Joy. Gage subsequently left Berkeley with Joy to start Sun in 1982. Dr. Erik K. Grimmelmann, AT&T Gateway Services Erik K. Grimmelmann is Marketing Vice President, Gateway Services with the AT&T Communications Services Group. He has product management and marketing responsibilities both for the AT&T NetWare Connect Service and for directory and security services for AT&T's Internet and On-Line Services. He was one of the architects and early implementors of the strategy of using the AT&T network as an applications hosting environment. As part of that effort, he helped craft the agreements with Lotus and Novell that led to the AT&T Network Notes and AT&T NetWare Connect Services offerings. Dr. Grimmelmann joined AT&T Bell Laboratories in 1978 as a post-doctoral research fellow in the Environmental Chemistry Research Department in Murray Hill. In 1979 he left the Research Area for systems engineering where his first assignment was performing economic analyses of the impacts of the then potential divestiture of AT&T. Over the next nine years in Bell Labs, he had such diverse positions as Supervisor of the Nuclear Weapons Effects Group and Head of the Air Traffic Control Systems Department. In 1989 he joined AT&T Computer Systems where he was product manager of the AT&T Rhapsody System, the first groupware offering that included workflow automation. While at AT&T Computer Systems he also had responsibility for AT&T's LAN and PC-based messaging software. When AT&T and NCR merged in 1991, he joined AT&T Business Communications Services, focusing on the Internet and on developing and implementing initiatives related to creating a "new" National Information Infrastructure (NII). He also participated in joint government/industry efforts to develop a national industrial policy for information infrastructure. Dr. Grimmelmann's Internet related activities include serving as Principal Investigator for AT&T's Cooperative Agreement with the National Science Foundation to provide InterNIC Directory and Database Services for users of the Internet from the research and education communities. Dr. Grimmelmann holds a Ph.D. and M.S. from The University of Michigan and a B.A. from Haverford College. Mr. Leo A. McCloskey, MCI Telecommunications Corporation Leo A. McCloskey is an Internet and electronic commerce expert for the networkMCI Consulting Group of MCI Telecommunications Corporation. His areas of specialization concern process and information management as they relate to electronic media, mainly the Internet. He has a background in International Studies as well as publishing and data systems. His time is mainly occupied with customer presentations and application design for networkMCI customers. Mr. Daniel E. White, Ernst & Young LLP Daniel (Dan) E. White is an Ernst & Young Partner in Chicago and National Director of the Information Security Effectiveness Series of services. His focus of expertise is in the areas of information security and overall system controls from both a business application and data center perspective. Dan also focuses on business continuity planning from both the overall corporate as well as the computing and communications perspectives. He is a frequent speaker on these subjects at both national and international meetings and has an MBA and BBA from Loyola University in Chicago. Dan will be discussing the Third Annual Ernst & Young / InformationWeek Information Security Survey. -- Ron Moritz, CISA, CISSP / Associate Director for Information Technology Office of Internal Audits & Management Advisory Services Case Western Reserve University / Cleveland, Ohio 44106-7007 e-mail: 'rxm8@po.CWRU.Edu' / (216) 368-6643 / Fax: (216) 368-5466 ------------------------------ Date: Fri, 03 Nov 1995 21:23:11 -0500 From: Peter Grimes Subject: File 3--Call for Papers (fwd) --- fwd --- Date--Fri, 3 Nov 1995 09:23:47 -0500 From--Carl H.A. Dassbach Theme: The Internet and Social Change Where: 91st Annual Meeting of the American Sociological Association New York City, August 16-20, 1996. Papers are being solicited for a session or sessions on the theme "The Internet and Social Change." The theme is loosely defined in order to accommodate all types of concerns and perspectives on the Internet and its social impact. Papers will be reprinted in a special issue of the Electronic Journal of Sociology and possibly an edited volume. Send abstracts, proposals or completed papers to Carl H.A. Dassbach at the address below. ----------------------------------------------------------------- Carl H.A. Dassbach E-mail: DASSBACH@MTU.EDU Dept. of Social Sciences Phone: (906)487-2115 Michigan Technological University Fax: (906)487-2468 Houghton, MI 49931 USA ------------------------------ Date: Mon, 30 Oct 1995 17:51:48 cst Subject: File 4--ART Technology to be included in Frontier's browser Hello! Frontier Technologies will be releasing this information on Business Wire first thing Monday morning, Oct.30. However, both Ann and I wanted you to have heads-up on this information. We will be demonstrating this new technology at Internetworld in Boston, Oct. 30 - Nov. 1 (booth # 564). If you are interested, and you would like an interview, feel free to contact either one of us to arrange a time. Best regards, Ann M. Krauss Marketing Communications Manager 520-797-0583 Nicole E. Rogers Public Relations Specialist 414-241-4555 ext.293 News - For Immediate Release Contacts: Ann M. Krauss Nicole E. Rogers Johnson-Grace Contacts: Cherie Ciotti-Roco Geoff LeBlond 714-759-0700 Frontier Technologies Leads The Pack In Supporting New Internet Graphic & Sound Compression Technology Johnson-Grace's High speed publishing technology to be integrated into Frontier's Internet Browser MEQUON, WI -- October 30, 1995 -- Frontier Technologies Corporation, an industry leader in Internet technology, and Johnson-Grace Company announced that Frontier Technologies' award-winning Internet browser now supports Johnson-Grace's ART 2.0 (TM) file compression technology. ART technology compresses graphic images and sound into one file, allowing users to rapidly download files over even slow Internet connections, and simultaneously display graphics and play back sound as the file downloads. Users of Frontier's ART-enabled Internet browser will be able to download sound and graphic files three times faster than with ordinary browsers and will be able to simultaneously hear broadcast-quality sound. For example, a 24KB .BMP file and a 335KB .WAV file can compress into a 14KB .ART file. A beta version of Frontier's new ART-enabled Internet browser is available for immediate download from Frontier has also set up an "ART Gallery" on its web site, including several ART files. The ART Gallery provides links to several other Internet sites containing ART files, including the electronic Gourmet Guide, iGOLF, and LAN Magazine. Web page designers wishing to embed ART files in their own HTML documents can download Johnson-Grace's ART Press (TM) authoring tool from both the Frontier and Johnson-Grace web sites. Internet users wishing to experience the new ART Technology may access several World Wide Web sites after downloading Frontier's new Internet browser. The electronic Gourmet Guide, Inc. ("the eGG") ( iGOLF (, and LAN Magazine ( among the first World Wide Web sites to provide ART images and sound. Frontier and Johnson-Grace will be presenting the new ART technology in special demonstration at Internet World on October 30 - November 1. The demonstrations will take place at Frontier's booth (# 564). If you would like more information, please feel free to call or email Ann or Nicole. **************************************************** Nicole Rogers Frontier Technologies Corporation 10201 N. Port Washington Road Mequon, WI 53092 E-Mail: NicoleR@FrontierTech.Com **************************************************** ------------------------------ Date: Tue, 31 Oct 1995 06:40:23 GMT From: davet@Riddler.COM Subject: File 5--Riddler is looking for home pages... On Friday 8/18/95, Interactive Imaginations launched a completely new version of Riddler. The game, now called Quibbler, is a free contest that gives people on the Web the opportunity to win cash prizes by solving a variety of riddles and puzzles. The game is accessible via We are looking for home pages to hide some of the clues that are needed to solve the riddles, and believe your page would be ideal. Your site will be seamlessly integrated into a specific game. For example, if we were to hide a clue on the Stephen King home page, contestants would get a hint leading them to that page. To facilitate the player's search, Infoseek and Yahoo will be incorporated locally on our site. Upon figuring out that the page in question was the Stephen King page, contestants would locate that page on the Web and find one of four clues needed to solve the main riddle. Since your participation is also free, the benefits of your participation are tremendous. Since a link to our game can be maintained for a duration, you will have the opportunity to promote the subject of your page to all participants of our game. In addition, you will have an opportunity to participate in the up and coming Riddler Network events such as the much-anticipated Riddler's Choice 10K race around the web. Remember, there is absolutely no cost to you or the players. If you are interested in participating in an upcoming game or have questions or want more information about the game, please respond to In your response e-mail please include the following information for scheduling purposes: ********************************************************************** URL of your Home Page to be used: Name of page: Contact Name: Company Name (if any): Work Phone #: (for scheduling /emergencies) Home Phone #: (for scheduling /emergencies) E-mail Address: Your State or Country: (so I know the time zone differences) What key words can one use to search for your site, along with the search engine to be used. For example: Riddler Network- yahoo, Interactive Games - Infoseek. When is the best time to reach you? (very important) Do you have other pages with direct links through search engines? If so, please provide the URL's and keywords which would locate them directly via a search engine. ********************************************************************** Again, if you have any questions or concerns, please feel free to contact me. Looking forward to your participation, David Tom Interactive Imaginations 212-598-9455 ------------------------------ Date: Sun, 5 Nov 1995 20:21:24 -0800 From: Chris Kerchum Subject: File 6--Re: Web Site Ratings (fwd) Thought this article might interest you, since it seems to be an answer to having the cybergardians breathing down ones neck. Since it's not my article, you probably have to get permission to publish from the Internet Filtering Systems. Well worth the trouble though. > @@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@@ > > FOR IMMEDIATE RELEASE > > Contact: Ron Warris, President, Internet Filtering Systems, Inc. > phone: 1-403-258-5804, email: > Web: > > DEMOCRATIC WORLD-WIDE WEB SELF-REGULATION ANNOUNCED > > CALGARY, ALBERTA, CANADA -- October 30, 1995 -- Internet Filtering > Systems, Inc. (IFSI) today announced Net Shepherd, the first product > designed to democratically rate and filter World Wide Web sites and > selectively supervise access. > > Net Shepherd is the first PICS-compliant rating and filtering > solution. Under the auspices of The World Wide Web Consortium, PICS > (Platform for Internet Content Selection) is a cross-industry working > group whose goal is to facilitate the development of technologies to > give users control over the kinds of material to which they and their > children have access. > > According to Ron Warris, president of IFSI, "There are a number of > companies offering filtering solutions. What is really needed is a > rating solution. How do you go about reviewing and rating 8.5 million > volatile documents on the Internet? Our approach will allow the people > who surf the Internet to be the people who rate the Internet. With Net > Shepherd, parents, educators and other concerned organizations will be > able to voluntarily participate in the rating process. > > Mr. Warris continues, "Net Shepherd will also provide parents with the > ability to selectively filter documents viewed by their > children. Parents can choose from a variety of rating databases that > represent the accumulated ratings from others who hold similar views > and philosophies. Organizations that wish to create rating databases > for their subscribers will also be able to use Net Shepherd. You'll be > able to subscribe to the Good Housekeeping database or the Lutheran > Church database or the ACLU database. Take your pick. > > "The Internet has always been self-regulating and > special-interest-group oriented. Now the World Wide Web can be as > well." > > IFSI's mission is to become the preferred and premier provider of > Internet rating systems and services for individual consumers, > concerned groups and associations, as well as other filter software > developers. A World-Wide Web site currently contains basic information > about IFSI, and will evolve over the coming weeks into an extensive > resource for those interested in Internet content filtering. It is > located at URL ------------------------------ Date: Thu, 2 Nov 1995 15:00:32 -0500 (EST) From: John Subject: File 7--Last Chance to register for "Computers & the Law II" THE REGISTRATION DEADLINE IS FAST APPROACHING! REGISTER TODAY! SUN USER GROUP Second Annual Technical Symposium "Computers & The Law" November 12-15, 1995 Tampa, FL As computers are utilized in more and more aspects of everyday life, the once distinct areas of technology, legislature, and law enforcement draw closer together. This unique technical conference provides a forum in which members of these three fields can meet to share experiences and ideas. The four day technical program (a day of tutorials, two days of talks, and another day of tutorials) will provide you with essential knowledge, whether your field is technical, legal, or law enforcement. Copies of this information are available via email at or on the World Wide Web at If you have further questions, contact the Sun User Group at (617)232-0514. ------------------------------ Date: Tue, 7 Nov 1995 14:31:10 -0500 From: Galkin@AOL.COM Subject: File 8--The Computer Law Report (Nov 6, 1995: #13) *+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+ THE COMPUTER LAW REPORT *+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+ November 6, 1995 [#13] ===================================== GENERAL INFO: The Computer Law Report is distributed (usually) weekly for free and is prepared by William S. Galkin, Esq. The Report is designed specifically for the non-lawyer. To subscribe, send e-mail to All information contained in The Computer Law Report is for the benefit of the recipients, and should not be relied on or considered as legal advice. Copyright 1995 by William S. Galkin. ===================================== ABOUT THE AUTHOR: Mr. Galkin is an attorney in private practice in Owings Mills, Maryland (which is a suburb of Baltimore), and he is also an adjunct professor of Computer Law at the University of Maryland School of Law. Mr. Galkin has concentrated his private practice in the Computer Law area since 1986. He represents small startup, midsized and large companies, across the U.S. and internationally, dealing with a wide range of legal issues associated with computers and technology, such as developing, marketing and protecting software, purchasing and selling complex computer systems, and launching and operating a variety of online business ventures. He also enjoys writing about computer law issues! ===> Mr. Galkin is available for consultation with individuals and companies, wherever located, and can be reached as follows: E-MAIL: 410-356-8853/FAX: 410-356-8804/MAIL: 10451 Mill Run Circle, Suite 400, Owings Mills, Maryland 21117 ^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^ Articles in The Report are available to be published as columns in both print and electronic publications. Please contact Mr. Galkin for the terms of such usage. ^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^*^ *+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+ JUMPING THE GUN ON SYSOP LIABILITY *+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+*+ [This is the third of a series of articles discussing recommendations made in the report issued September 5, 1995 by President Clinton's Information Infrastructure Task Force. The report is entitled "Intellectual Property and the National Information Infrastructure (NII)," and is commonly referred to as the White Paper.] The White Paper makes various recommendations for legislative changes which it hopes will grease the onramps to the Information Highway. Besides these overt recommendations, the White Paper also expends considerable effort to analyze the current state of the law. This analysis of the current state of the law, though presented as objective, often represents the Administration's desired interpretation of legal issues that are as yet unsettled in the courts. In presenting this analysis, the Administration hopes that its interpretations will be adopted by the courts, and affect the outcomes of some cases currently pending. One area where the White Paper's analysis rises to the level of "recommendation" relates to whether a sysop or online provider should be held liable for unknowingly facilitating the distribution of materials that infringe someone's copyright. This infringment occurs when users of the system upload and download material without permission from the copyright holder. Where such infringement is occurring, the online operator, theoretically, could be found liable for direct infringement, vicarious infringement, or contributory infringement. Or, the online operator could also be found not liable at all. Direct infringement is where the defendant directly causes the infringement to occur. The court in Playboy Enterprises Inc. v. Frena found the BBS operator to be directly liable for the display and distribution of Playboy photographs, which were uploaded and downloaded by subscribers, without the knowledge of the operator. If direct infringement is found, then there is strict liability. That means that there will be liability even where the "infringer-operator" had no knowledge that the infringement was occurring. Vicarious infringement would occur where someone has the "right and ability" to supervise the infringing action of another, even though the supervisor has no knowledge of the infringement. Accordingly, an operator could be found to be vicariously liable if a court determines that it has the right and ability to supervise the activities of the users. Contributory infringement may be found when one who, with knowledge of the infringing activity, contributes to the infringing conduct of another. An online operator could be found to be a contributory infringer based on the provision of online services and equipment facilitating the direct infringement of the users. Although the Playboy case found the operator to be directly liable for the infringement, the type of liability, or whether there would even be liability, is currently an unsettled and unclear issue. However, the White Paper gives the impression that this issue is settled and that operators will be directly infringing when subscribers upload and download copyrighted material without their knowledge. The White Paper states affirmatively that "[a]ltering the standards of liability for infringement [for online operators] would be a significant departure from current copyright principles and law and would result in a substantial derogation of the right of copyright owners." Taking the position that operators will be held to be direct infringers, the White Paper dismisses the following arguments in favor holding operators to a different standard than others: (1) the volume of material on a service provider's system is too large to monitor or screen; (2) even if a service provider is willing and able to monitor the material on its system, it cannot always identify infringing material; (3) failure to shield online service providers will impair communication and availability of information; (4) exposure to liability for infringement will drive service providers out of business, causing the NII to fail; and (5) the law should impose liability only on those who assume responsibility for the activities their subscribers engage in on their system, and not on operators who allow the system to operate without content supervision. The position that the White Paper promotes, that operators should be strictly liable as direct infringers for the uploading and downloading of copyrighted material, as mentioned, is currently unsettled. By assuming this position, the Administration has been viewed as seeking to influence the following currently pending cases to adopt this position. In one (Sega Enterprises Ltd. v. MAPHIA), the court issued a preliminary injunction against a BBS for allowing and facilitating the unauthorized uploading of Sega's copyrighted video games. In a second case (Frank Music Corp. v. CompuServe), CompuServe is being sued for allegedly allowing the unauthorized uploading and downloading of musical recordings. In third case (Religious Technology Center v. NETCOM), the Church of Scientology is suing a BBS operator and an Internet access provide for allowing the unauthorized uploading of copyrighted materials. In situations where an operator is truly innocent regarding infringement resulting from the uploading and downloading of copyrighted material, law makers have to determine who should bear the responsibility for and loss of this infringement: the copyright holders, the online operators or the users committing the infringement. The position that the White Paper promotes sides with the copyright holder in the sense that it places the burden on those other than the copyright holder to expend time and effort to protect the copyright holder's interests. ------------------------------ Date: Sun, 5 Nov 1995 22:51:01 CDT From: CuD Moderators Subject: File 9--Cu Digest Header Info (unchanged since 5 Nov, 1995) Cu-Digest is a weekly electronic journal/newsletter. Subscriptions are available at no cost electronically. CuD is available as a Usenet newsgroup: Or, to subscribe, send a one-line message: SUB CUDIGEST your name Send it to LISTSERV@VMD.CSO.UIUC.EDU DO NOT SEND SUBSCRIPTIONS TO THE MODERATORS. The editors may be contacted by voice (815-753-0303), fax (815-753-6302) or U.S. mail at: Jim Thomas, Department of Sociology, NIU, DeKalb, IL 60115, USA. To UNSUB, send a one-line message: UNSUB CUDIGEST Send it to LISTSERV@VMD.CSO.UIUC.EDU (NOTE: The address you unsub must correspond to your From: line) Issues of CuD can also be found in the Usenet news group; on CompuServe in DL0 and DL4 of the IBMBBS SIG, DL1 of LAWSIG, and DL1 of TELECOM; on GEnie in the PF*NPC RT libraries and in the VIRUS/SECURITY library; from America Online in the PC Telecom forum under "computing newsletters;" On Delphi in the General Discussion database of the Internet SIG; on RIPCO BBS (312) 528-5020 (and via Ripco on internet); and on Rune Stone BBS (IIRGWHQ) (203) 832-8441. 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