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The Computer Fraud and Abuse Act

By Christopher Hitchcock and Amber W. Locklear

In a recent decision written by Judge Richard Posner, The United States Court of Appeals for the Seventh Circuit determined that the Computer Fraud and Abuse Act (CFAA) may be used to bring a private cause of action against a former employee who permanently erased confidential data from his company-issued laptop before returning it to the company. International Airport Centers, L.L.C. v. Citrin, (Slip Op.) No. 05-1522 (7th Cir. March 8, 2006). In so holding, the Seventh Circuit has joined the current tide of federal courts that have permitted companies to use the CFAA as a means with which to defend themselves against the malicious and competitive acts of departing employees.

Since passing the CFAA in 1984 to criminalize 'classic' attacks on government computer databases by hackers, Congress has expanded its scope to include a private right of action covering not only government-owned computers, but also 'protected computers' used in interstate commerce. (According to the CFAA's express terms, a 'protected computer' is defined as one that 'is used in interstate or foreign commerce or communication, including a computer located outside the Untied States that is used in a manner that affects interstate or foreign commerce or communication of the United States.' 18 U.S.C. ' 1030(e)(2)(B).) As a result, individuals and companies may now bring civil claims alleging violations of the CFAA to seek compensatory damages, injunctive and other equitable relief.

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