§ 3-1 Civil Liability
Ingenix, Inc. v. Lagalante, 2002 U.S. Dist. LEXIS 5795 (E.D. La. 2002).
While the CFAA is a criminal statute, the court affirmed the rule that a violation of the statute can provide the basis for civil liability.
§ 3-2 Damage
United States v. Middleton, 231 F.3d 1207 (9th Cir. 2000).
Under the Computer Fraud & Abuse Act (CFAA), legislative history shows the Act also covers corporations in its definition of “individuals.”
§ 3-3 Intent
United States v. Sablan, 92 F.3d 865 (9th Cir. 1996).
The federal computer crime statute (prior to 1994 and later amendments) did not require the government to prove that the defendant intentionally damaged computer files. However, the mens rea requirement of the statute was sufficient to pass constitutional muster because it required the government to prove that the defendant intentionally accessed a federal interest computer without authorization (i.e., that the defendant had a wrongful intent in accessing the computer).
§ 3-4 Restitution
United States v. Sablan, 92 F.3d 865 (9th Cir. 1996).
Although the costs of repairing and restoring damaged computer files to their original condition (including fees of contractors or the time of staff or equipment required to make the repairs) may be included in the loss valuation when calculating damages for sentencing purposes, there is uncertainty in the case law under the sentencing guidelines whether consequential losses (such as staff time spent in internal discussions or in meetings with law enforcement authorities) may be considered in the calculation. However, a restitution order authorized by the Victim and Witness Protection Act must be based on losses directly resulting from the defendant’s criminal conduct (and not consequential damages). Such restitution is proper even if the defendant is currently indigent and unable to pay. In ordering restitution, a district court must consider the amount of loss sustained by the victim, the present or the future possible financial resources of the defendant, and the financial needs and earnings of the defendant and the defendant’s dependents.
