1 2 3 4 5 6 7 8 9 10 11 12 13 14 IN THE SUPERIOR COURT OF THE STATE OF WASHINGTON FOR KING COUNTY ) ) ) ) ) ) Plaintiffs, ) ) vs. ) ) VITALSTREAM, INC., a ) foreign corporation, ) ) Defendant. ) ________________________________) BENNETT HASELTON, a single person, and PEACEFIRE, a sole proprietorship owned by Bennett Haselton NO. 02-2-03179-0SEA PLAINTIFF/APPELLANT BENNETT HASELTON AND PEACEFIRE’S BRIEF 15 16 17 18 19 20 21 22 23 24 25 26 INTRODUCTION This is an appeal of a Small Claims Court judgment in defendant’s favor, rendered on November 26, 2001. Defendant sent plaintiff a commercial advertisement in an email message with the subject line “Shareholder request” on August 10, 2001, with the body of the email message consisting of an advertisement for defendant’s Internet development products. Plaintiffs sued defendant under RCW 19.190, which prohibits commercial email messages with “misleading subject lines” and specifies statutory damages of $500 to an individual recipient of such a message (in Bennett Haselton 1616 – 156th Avenue N.E., Suite 137 Bellevue, Washington 98007 PH(425)649-9024 27 28 1 1 this instance, plaintiff Bennett Haselton) and $1,000 to an 2 “interactive computer service” that handles receipt of such a 3 message (in this instance, plaintiff Peacefire). 4 exclusive of each other. 5 residing in Bellevue, Washington and Peacefire is a sole 6 proprietorship owned by Bennett Haselton. 7 Damages are not Bennett Haselton is an individual In the Small Claims hearing, the honorable Judge Elizabeth 8 Stephenson ruled that Small Claims Courts could not award statutory 9 damages, citing RCW 12.40.010, so the rest of the case was not 10 heard on its merits. First, we show that RCW 12.40.010 does in 11 fact permit the award of statutory damages in Small Claims cases. 12 Second, we show that the email message in question violated RCW 13 19.190 and that plaintiffs Bennett Haselton and Peacefire are 14 entitled to damages in the amount of $500 and $1,000, respectively. 15 FACTUAL BACKGROUND 16 17 Since this is an appeal, no new evidence will be presented, 18 nor is any necessary. 19 message on August 10, 2001 to Bennett Haselton at the email address 20 bennett@peacefire.org. 21 had never had any contact with Bennett Haselton or Peacefire. 22 subject line of the email was “Shareholder request”. 23 the 24 media” Internet development services, beginning with the words “Add 25 Streaming message was Media an to Defendant VitalStream, Inc. sent an email Prior to that communication, VitalStream advertisement Your Business for & The body of VitalStream’s Enhance Your The “streaming Shareholder's 26 Bennett Haselton 1616 – 156th Avenue N.E., Suite 137 Bellevue, Washington 98007 PH(425)649-9024 27 28 2 1 Experience”. Defendant brought a case under RCW 19.190, a law 2 passed in 1998 to deal with the growing problem of bulk unsolicited 3 commercial email, which, according to a European Union commission 4 study, costs users and Internet Service Providers about $8 billion 5 annually worldwide1. RCW 19.190.020 states (emphasis added): 6 RCW 19.190.020 7 Unpermitted or misleading electronic mail -- Prohibition. 8 (1) No person may initiate the transmission, conspire with 9 another to initiate the transmission, or assist the 10 transmission, of a commercial electronic mail message from a 11 computer 12 address that the sender knows, or has reason to know, is held 13 by a Washington resident that: located in Washington or to an electronic mail 14 (a) Uses a third party's internet domain name without 15 permission of the third party, or otherwise misrepresents or 16 obscures any information in identifying the point of origin or 17 the transmission path of a commercial electronic mail message; 18 or 19 (b) Contains 20 subject line. false or misleading information in the 21 (2) For purposes of this section, a person knows that the 22 intended recipient of a commercial electronic mail message is 23 a Washington resident if that information is available, upon 24 Commission of the European Communities, “Unsolicited Commercial Communications and Data Protection”, Serge Gauthronet and Etienne Drouard, January 2001 1 25 26 Bennett Haselton 1616 – 156th Avenue N.E., Suite 137 Bellevue, Washington 98007 PH(425)649-9024 27 28 3 1 request, from the registrant of the internet domain 2 contained in the recipient's electronic mail address. name 3 4 Defendant did not personally appear in court, but submitted a 5 letter in advance of the trial asking for the case to be dismissed 6 for lack of jurisdiction over a non-resident corporation. 7 honorable Judge Janet Garrow replied to plaintiff’s letter denying 8 them motion to dismiss on the grounds that RCW 3.66.040 allows for 9 jurisdiction over non-resident corporations that do The business 10 within the court district. At the trial, Judge Pro Tem Elizabeth 11 Stephenson dismissed the case on the grounds that Small Claims 12 Court could not award statutory damages. 13 December 26, 2001. Plaintiff appealed on 14 ARGUMENT THAT RCW 12.40.010 PERMITS STATUTORY DAMAGES 15 First we address the question of whether statutory damages 16 can be awarded under RCW 12.40.010. RCW 12.40.010 states: 17 18 The small claims department shall have jurisdiction, but not 19 exclusive, in cases for the recovery of money only if the 20 amount claimed does not exceed four thousand dollars. 21 22 We believe that the lower court erred and that the error stemmed 23 from a misinterpretation of the word “recovery”. 24 usage, to “recover” something means to get back something that used 25 to be in one’s possession, and under this interpretation, “recovery In normal English 26 Bennett Haselton 1616 – 156th Avenue N.E., Suite 137 Bellevue, Washington 98007 PH(425)649-9024 27 28 4 1 of money” would indeed limit a plaintiff to actual damages only 2 (money that was lost). 3 simply means to take something from another party as a result of a 4 legal ruling. 5 the word to apply to statutory or punitive damages: “There is no 6 statutory right to a jury trial when a copyright owner elects to 7 recover 8 Television, Inc. (96-1768) 106 F.3d 284, 1998 – emphasis added); 9 “[T]he showing of actual malice needed to recover punitive damages 10 under either New York Times or Gertz was unnecessary” (Philadelphia 11 Newspapers, Inc. v. Hepps, (84-1491), 475 U.S. 767, 1986); “But 12 plaintiffs may not recover punitive damages against a municipality” 13 (Jefferson v. City of Tarrant, (96-957), 682 So. 2d 29, 1997). 14 use of the word “recover” as applied to statutory or punitive 15 damages – i.e. money that had not been lost by the plaintiffs – 16 clearly implies that the word “recover” in 12.40.010 does not limit 17 Small Claims plaintiffs to actual damages. In legal terms, however, the word “recover” Courts as high as the U.S. Supreme Court have used statutory damages” (Feltner v. Columbia Pictures The 18 On the contrary, a law that specifies $500 in statutory 19 damages would be useless to the average plaintiff if such an action 20 could not be brought in Small Claims Court, since it would normally 21 cost more than $500 to hire an attorney simply to file the case in 22 Superior Court. 23 claim since there is no prohibition against Small Claims Courts 24 awarding statutory damages. 25 Small Claims Court is the natural venue for such a ARGUMENT THAT DEFENDANT’S EMAIL VIOLATED RCW 19.190 26 Bennett Haselton 1616 – 156th Avenue N.E., Suite 137 Bellevue, Washington 98007 PH(425)649-9024 27 28 5 1 The subject line of defendant’s email was “Shareholder 2 request”. Corporations that have shareholders are concerned with 3 increasing shareholder value and treat communications from their 4 shareholders as important, so an email message with this subject 5 line would be likely to get the attention of any officer of such a 6 corporation. 7 in this case, plaintiffs Peacefire and Bennett Haselton do not have 8 “shareholders”, and VitalStream is not sending the message as a 9 request from a shareholder but rather as an advertisement for their The subject line, however, is blatantly misleading – 10 services. 11 to oppose Internet censorship, and it is virtually impossible that 12 any reasonable person could view the site and believe that 13 Peacefire was a commercial “corporation” with “shareholders”. 14 Peacefire’s Web site is a not-for-profit site organized RCW 19.190.020 (2) states, "For purposes of this section, a 15 person knows that the intended recipient of a commercial electronic 16 mail message is a Washington resident if that information is 17 available, upon request, from the registrant of the internet domain 18 name contained in the recipient's electronic mail address." 19 this instance, the “recipient” and the “registrant of the internet 20 domain name” are one and the same person, Bennett Haselton. 21 Haselton is the owner of the Peacefire.org domain name, and the 22 fact that Mr. Haselton lives in Washington is “available on 23 request” from Mr. Haselton himself. 24 25 In Mr. While VitalStream did not contact Mr. Haselton to determine whether he lived in Washington prior to sending the message, RCW 26 Bennett Haselton 1616 – 156th Avenue N.E., Suite 137 Bellevue, Washington 98007 PH(425)649-9024 27 28 6 1 19.190.020 does not require that the sender actually contact the 2 domain name registrant, only that the information must be 3 “available on request”. 4 actually know that the recipient lived in Washington in order for 5 the sender to be sued, then the law would be completely 6 ineffective, since a sender could always claim ignorance of the 7 fact that a recipient lived in Washington, regardless of whether 8 that information was available on request.) 9 10 (If the law required the sender to ENTITLEMENT TO DAMAGES UNDER RCW 19.190.040 RCW 19.190.040 states: 11 (1) Damages to the recipient of a commercial electronic mail 12 message sent in violation of this chapter are five hundred 13 dollars, or actual damages, whichever is greater. 14 (2) Damages to an interactive computer service resulting from 15 a violation of this chapter are one thousand dollars, or 16 actual damages, whichever is greater. 17 18 Plaintiff Bennett Haselton was the recipient of the email message 19 in question with the misleading subject line, and as the recipient, 20 is seeking $500 in damages. 21 computer service” that handled the receipt of the message and is 22 seeking $1,000 in damages. 23 actual damages did not exceed statutory damages.) 24 computer service” is defined in RCW 19.190.010 (5): 25 Peacefire was the “interactive (Plaintiffs concede in both cases that “Interactive "Interactive computer service" means any information service, 26 Bennett Haselton 1616 – 156th Avenue N.E., Suite 137 Bellevue, Washington 98007 PH(425)649-9024 27 28 7 1 system, or access software provider that provides or enables 2 computer access by multiple users to a computer server, 3 including specifically a service or system that provides 4 access to the internet and such systems operated or services 5 offered by libraries or educational institutions. 6 Peacefire meets this definition of an interactive computer service 7 because Peacefire provides multiple users with email accounts on 8 Peacefire’s system, and the service that Peacefire is able to 9 provide is incrementally degraded by the amount of unsolicited 10 commercial email that is received by the system, which occupies 11 system storage space and machine processor time. CONCLUSION 12 13 For the reasons set forth above, plaintiffs are entitled to 14 recover damages against VitalStream, Inc. as specified in RCW 15 19.190.040. 16 Dated: this 11th day of February, 2002 17 18 _____________________ 19 Bennett Haselton 20 Pro Se plaintiff 21 22 23 24 25 26 Bennett Haselton 1616 – 156th Avenue N.E., Suite 137 Bellevue, Washington 98007 PH(425)649-9024 27 28 8