FTC Halts Illegal Spam Operation; Adult Site Violated CAN-SPAM Act
The Federal Trade Commission and Department of Justice have halted the illegal conduct of an adult Web site that sent spam with false or misleading header information, that failed to include an opt-out mechanism, and that failed to include a valid postal address, all in violation of federal law. A final court order will bar violations of the CAN-SPAM Act in the future, require the defendants to establish an effective monitoring program for their affiliates, and impose a $75,000 civil penalty.
According to the FTC, since at least January 2006 the defendants have used affiliates who sent spam intended to drive users to the defendantsā adult Web sites, including sexyfriendsearch.com, an Internet dating service where they collect payment for memberships. The affiliates, who are paid commissions for referrals who sign up as members, send spam with lurid subject lines that contains hyperlinks to the defendantsā Web sites.
The FTC alleges the e-mails contain false header information so it is difficult or impossible to determine the identity of the sender. In addition, the e-mails fail to provide clear and conspicuous notification that consumers can opt-out of receiving future e-mails. Finally, the e-mails fail to include a valid physical postal address of the sender. The CAN-SPAM Act requires that commercial e-mail contain accurate header information, an opt-out mechanism to allow consumers to stop receiving messages they are not interested in, and a valid physical postal address. The agency alleged the defendants violated the law.
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