Anti-spam law ruled unconstitutional
Associated Press
http://www.chron.com/cs/CDA/printstory.mpl/tech/news/2946749

ROCKVILLE, Md. -- A judge has ruled that Maryland's anti-spam law -- the
first state law to penalize senders of junk e-mail -- is unconstitutional
because it seeks to regulate commerce outside the state's borders.

Last week's ruling, which threw out a lawsuit against a New York e-mail
marketer, effectively overturns Maryland's 2002 Commercial Electronic Mail
Act.

Eric Menhart, the George Washington University law student who brought the
case in Maryland against Joseph Frevola, promised to appeal.

Congress and more than three dozen state legislatures have passed laws to
corral spam, the popular term for junk e-mail advertising. An appeals court
in California and the Washington state Supreme Court have upheld state laws
that had been declared unconstitutional by lower courts on grounds similar
to the Dec. 9 ruling in Maryland.

Maryland's law allows residents who receive e-mail with certain false
information to sue for damages. A separate criminal statute enacted in
October adds criminal penalties of up to $25,000 and 10 years in prison.

Assistant Attorney General Steve Sakamoto-Wengel said he believes the law
should stand.

"The law over the Internet is developing. There are going to be conflicting
rulings," he said. But the ultimate hope is that "they all get resolved and
we have clear rules over what states can and can't regulate."

The federal anti-spam law that took effect this year does not allow
individuals to sue spammers. That law superseded most state laws unless --
like Maryland -- they specifically addressed deceptive or fraudulent e-mail.

The Maryland law applies to e-mail sent to or from Maryland residents, but
it leaves vague the actual location of the resident -- potentially affecting
companies who send e-mail to people who live in Maryland, but who might
receive the transmission elsewhere via laptop.

Menhart set up a corporation in Maryland to fight spam and pays Maryland
taxes, but he lives in Washington.

The judge concluded that the law unconstitutionally attempts to regulate
commerce that may never enter Maryland.

The case's dismissal could mean "Eric Menhart's out of business," said
Frevola's attorney, Andrew Dansicker. "All of his cases are based on the
Maryland statute. All of his cases are going to be dismissed."




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