[11847] in Commercialization & Privatization of the Internet
Green Card contract analysis (fwd)
daemon@ATHENA.MIT.EDU (DAN L. BURK)
Thu Apr 21 23:32:43 1994
Date: 21 Apr 94 18:12:00 EST
From: "DAN L. BURK" <DBURK@gmuvax.gmu.edu>
To: "com-priv" <com-priv@psi.com>
>From: GMUVAX::WINS%"cyberia-l@birds.wm.edu" 21-APR-1994 18:09:19.32
To: DBURK
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Subj: Re: The Canter & Seigel Letter
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>From: reidenberg@law.fordham.edu
To: dburk@gmuvax.gmu.edu
Subject: Re: The Canter & Seigel Letter
X-Listserver-Version: 6.0 -- UNIX ListServer by Anastasios Kotsikonas
There is another interesting angle to any suit by C&S against Internet
Direct. The suit presents a great risk that C&S will be liable for
damages to every system that received the advertisement.
If there was a contractual provision prohibiting C&S from using Internet
Direct to post advertising messages, a court finding of breach opens
the door to law suits against C&S by every sysop barraged by the
advertisement. Every Internet list can claim to be a third party
beneficiary of the C&S-Internet Direct restriction on advertising
messages. As such, C&S would be liable to each and every system
for damages incurred by clogging the bandwidth. There are a few
hurdles for the third party beneficiary claims, but C&S might
find it rather expensive to defend the multitude of suits.
In other words, there is a significant hidden cost to C&S if
they choose to make a court issue of Internet Direct's refusal
to reconnect.
Joel Reidenberg
<jreidenberg@law.fordham.edu>
