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ISP nets $1bn in spam case

But will the spammers pay up?

By Staff for CNET News.com

Published: 20 December 2004 09:15 GMT

An internet service provider in Iowa has been awarded more than $1bn in what is believed to be the largest lawsuit judgment ever against spammers.

Robert Kramer, who owns CIS Internet Services, sued 300 spammers after his servers received up to 10 million spam emails a day in 2000, according to court documents.

Kramer told the Quad-City Times in Davenport: "It's definitely a victory for all of us that open up our email and find lewd and malicious and fraudulent email in our boxes every day."

US District Judge Charles R. Wolle ordered AMP Dollar Savings of Mesa, Arizona, to pay $720m and Cash Link Systems of Miami to pay $360m. Wolle also ordered Florida-based TEI Marketing Group to pay $140,000.

Kelly Wallace, Kramer's attorney, is not optimistic about collecting the judgment, which was made possible by an Iowa law that allows plaintiffs to claim damages of $10 per spam message.

"We hope to recover at least his costs," Wallace said.

Wallace said he has only heard of judgments up to $25m in spam-related cases.

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