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931 F. Supp. 2d 916
C.D. Ill.
2013
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Background

  • Plaintiff McDade pursues remaining SCA damages for Yahoo! email; earlier rulings denied damages for Access2Go email and Blackberry messages.
  • Feb. 20, 2013, court issued an order on damages calculation if liability found; Yahoo damages not addressed at that time.
  • Plaintiff reasserts Yahoo! SCA claim; court considers whether not seeking actual damages bars statutory damages.
  • Court agrees plaintiff may recover statutory damages without proving actual damages; relies on statutory construction, history, and district decisions.
  • Statutory text 18 U.S.C. § 2707(c) permits actual damages and profits or at least $1,000; does not require actual damages exclusively.
  • Doe v. Chao distinguished; Van Alstyne relied on Privacy Act; court finds Doe not controlling for SCA damages; considers other authorities.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Does not seeking actual damages bar statutory damages? McDade argues §2707(c) allows statutory damages without actual damages. McDade contends Van Alstyne controls, requiring actual damages. Not required; statutory damages available without actual damages.
Statutory construction of §2707(c) permits minimum damages? McDade relies on text permitting actual damages, profits, or minimum $1,000. Van Alstyne views require actual damages as prerequisite. Text supports recovery even without proving actual damages.
Does legislative history support broader damages under §2707(c)? House and Senate reports show damages include actual, profits, with minimum $1,000. Legislative history is not decisive due to case-specific interpretations. Legislative history supports broader damages under §2707(c).
Are other district decisions controlling on this point? Cedar Hill and similar decisions support non-requirement of actual damages. Van Alstyne rejected those analyses. Court finds those decisions persuasive and distinguishable from Fourth Circuit precedent.
Is Doe v. Chao controlling precedent for SCA damages? Doe suggests limitations but not definitive against SCA liquidated damages. Doe binds interpretation of “substantively identical” statutes. Doe not controlling; court relies on broader statutory reading and other authorities.

Key Cases Cited

  • Van Alstyne v. Electronic Scriptorium, Ltd., 560 F.3d 199 (4th Cir. 2009) (held actual damages required as prerequisite to statutory damages under the SCA)
  • Doe v. Chao, 540 U.S. 614 (U.S. 2004) (Doe distinguished the Privacy Act when interpreting the SCA; did not mandate actual damages for SCA statutory damages)
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Case Details

Case Name: Shefts v. Petrakis
Court Name: District Court, C.D. Illinois
Date Published: Mar 14, 2013
Citations: 931 F. Supp. 2d 916; 2013 WL 1087695; 2013 U.S. Dist. LEXIS 35091; Case No. 10-cv-1104
Docket Number: Case No. 10-cv-1104
Court Abbreviation: C.D. Ill.
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    Shefts v. Petrakis, 931 F. Supp. 2d 916