Archive for August, 2009

SmartyHost caught out

Tuesday, August 25th, 2009

The Australian Communications and Media Authority (ACMA) has obtained an enforceable undertaking from MYOB Australia E1 Pty Ltd for breaches of the Spam Act 2003.

Following an investigation by the ACMA, a SmartyHost, division of MYOB was found to have been sending emails to people who had unsubscribed from its mailing lists. The ACMA found that SmartyHost had not actioned the unsubscribe requests.

Chris Chapman, Chairman of the ACMA said:

The Spam Act makes it clear that commercial electronic messages cannot be sent without the consent of the recipient….. As such it is central to the working of the scheme that recipients of such messages have the right to withdraw their consent at any time.

s18 of the Spam Act 2003 makes it a specific requirement that commercial electronic messages must have an unsubscribe facility (that works!) which must remain active for at least 30 days after the message is sent.

The ACMA’s action is consistent with its recent get tough approach to enforcement of Spam and the Do Not Call Register

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TIO claims success in Telco Campaign

Monday, August 24th, 2009

The TIO has claimed success in its ‘Connect Resolve’ campaign, with only a minor increase of 1.8% in complaints over the period of the campaign.

The Connect Resolve campaign which ran between January 2009 and June 2009, was targeted at the 10 largest Telco’s in Australia with the aim of having Telcos:

“….refocus on their customers’ experiences and the need to improve their customer service practices.”

Throughout the campaign:

….service providers received monthly data about their customers’ complaints to the TIO, as well as examples of consumer `voices’ so they could have a better understanding of which areas needed improvement, and further develop their customer service processes.

The minimal increase of 1.8% during the campaign was in contrast to a 46% increase in complaints for the same period last year.

The Ombudsman said that:

“The stabilisation shows that our collaborative approach with service providers has been effective, but they need to continue their efforts to prioritise customer service,”

It is commendable that the TIO has in this instance taken the cooperative approach, but this campaign is the exception rather than the rule. We are still receiving regular complaints from our clients about the lack of impartiality of the TIO, and the confrontational approach taken in ‘resolving disputes’.

According to Cooper Mills Lawyers, Director and Telecommunications Lawyer Erhan Karabardak:

If the TIO wants to seriously reduce complaints they should (in addition to these types of campaigns) impose a complaint fee, which would have a significant impact on a large number of complaints that are made in bad faith, and which are without merit.

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Telstra fined for Do Not Call Register Breaches

Wednesday, August 19th, 2009

The Australian Communications and Media Authority (ACMA) yesterday announced that Australia’s largest Telco Telstra breached the Do Not Call Register Act (“Act”) and was fined $101,200.

The ACMA claims that one of Telstra’s external call centres in Australia made telemarketing calls to numbers listed on the Do Not Call Register (the Register). The ACMA began investigations in August 2008 following a raft of consumer complaints about calls to numbers listed on the Do Not Call Register. According to the ACMA:

The investigation found that inadequate compliance systems, procedures and supervision had contributed to calls being made to numbers on the Register where the consumers were not existing Telstra customers.

In addition to the fine, Telstra was forced to enter into enforceable undertakings with the ACMA, which included the appointment of external consultants to review Telstra’s compliance procedures.

In clarifying its expectations, the ACMA said that it:

expects large businesses like Telstra to be leading the way and setting an example when it comes to compliance with the Do Not Call Register – not falling behind.

This is at odds with its earlier treatment of the Westpac Bank who only received a warning for breaches earlier this year – Westpac Bank breaches Act.

In commenting on the ACMA’s action, Cooper Mills Director and IT & T Lawyer Erhan Karabardak said that:

It is positive to see that the ACMA is taking enforcement of the Act seriously, but the inconsistency in penalties may be something for the ACMA to consider in future. Although each case needs to be assessed on its own facts, any perceived inconsistencies in treatment may undermine the efforts of the ACMA.

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Posted in ISP and Telco Law, IT Law, Privacy | No Comments »

99.7% drop in Domain Tasting

Friday, August 14th, 2009

ICANN has just announced that since changes implemented in June 2008, Domain Tasting has dropped a massive 99.7%, which effectively spells the end of the practice.

Domain Tasting, is the practice of registering domains to identify their potential to attract visitors and typically revenue from online ads, and cancelling the registration within 5 days to avoid paying the fees if the domains did not attract visitors / revenue within this period – this was in effect a ‘try before you buy’.

ICANN says (in reference to their solution to this problem):

The solution in brief means that if a company registers and then returns more than a certain number or percentage of domains each month, they are charged for each additional registration above that amount. The result is that domain tasting becomes increasingly expensive the more a company engages in the practice for what may be speculative reasons.

The announcement by ICANN comes after the release of its report: The End of Domain Tasting – Status Report on AGP Measures.

The issue of domain tasting is not one that we have experienced in Australia.

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Google Announces Next Generation Search Architecture

Tuesday, August 11th, 2009

Google today announced that it had been working on a secret project to build the next generation of Google’s dominant search engine.

The operating development search engine is accessible at http://www2.sandbox.google.com/.

According to Google:

It’s the first step in a process that will let us push the envelope on size, indexing speed, accuracy, comprehensiveness and other dimensions. The new infrastructure sits “under the hood” of Google’s search engine, which means that most users won’t notice a difference in search results.

Google’s aim at making the developmental search engine available is to gather feedback on the impact the new architecture may have on individual websites.

We have found that the new development search engine ranks our site lower than the existing search engine. The question that naturally arises is whether the next generation of Google’s search engine will rewrite the rules on search engine optimisation – only time will tell….

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Posted in Domain law and domaining, General, IT Law, Uncategorized | No Comments »

auDA reviews renewal, expiry and deletion policy

Tuesday, August 11th, 2009

Yesterday we received notification from auDA (the .au Domain Name Regulator) that they had instigated a review into the Domain Renewal Expiry and Deletion Policy.

According to auDA the review will focus on:

    1. Whether the current 30 day pending delete period for expired domain names (ie. where the registrant has not renewed their domain name) is appropriate.
    2. Whether the current “domain purge” procedure (ie. where domain names are purged from the registry at a random time between 10.30am and 5.00pm AEST on the next business day after the pending delete period ends) is effective.
    3. What action (if any) auDA should take in relation to unofficial domain drop lists, and the domain-catching services being provided by some accredited registrars and other industry participants.

At the risk of sounding pessimistic, auDA may be using this review as a cover to stifle innovation by putting a stop to, or restricting domain drop lists and auctions. auDA needs to carefully consider these issues, the .au name space is already over regulated by world standards, the last thing we need is more regulation.

We have been asked to make a submission on behalf of Australian domainers – without speculating on what our submissions will say, it is clear that there is great support for the drop lists and auctions.

If you are a domainer and you would like to make submissions, we encourage you to contact us so that we can combine your comments / views with our broader submissions to this review.

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Primus data centre knocked out again

Monday, August 10th, 2009

According to reports on Broadband News website Whirlpool, the iPrimus data centre at 55 King Street Melbourne was crippled over the weekend due to a now all to common data centre blackout.

Whirlpool says:

The power dropped around 3:45PM and caused Victorian and Tasmanian customers from ISPs such as Exetel, iiNet, Internode and Netspace to lose their broadband connections.

Internode was able to route around the problem by 4:15PM, while the other ISPs were back online around 5:30PM.

In a notice to customers, Primus blamed “high tension fuses in the CitiPower substation feeding our Data centre”, which it said was the same issue affecting power in February.

Backup diesel generators “failed to start due to a synchronization processor failure.” According to the notice, works to upgrade the substation that failed were already planned for next weekend.

With a recent outage in February 2009, one would have thought that Primus would have been more proactive in avoiding a repeat of the previous disaster.

The outage provides a timely reminder for companies with critical data centre need to ask their data centre provider simple questions such as:

  1. what redundant power arrangements are in place ?

  2. how often is the power redundancy system tested ?

  3. is there a meaningful SLA to give some level of assurance, and financial compensation if the worst does happen ?

These are some simple yet important questions to ask, if your data centre provider cannot answer these questions satisfactorily, then you should consider whether they are the best provider for your mission critical hosting requirements.

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Domain name theft – man charged in possible world first case

Friday, August 7th, 2009

A United States man has been charged in what is thought to be one of the world’s first cases where a suspected domain name thief has been prosecuted.

The accused allegedly hacked into an online account belonging to one of the owners of the popular P2P.com domain name. He then purportedly moved ownership of the domain to himself and then resold it via eBay.

The man was charged with felony charges of unlawful taking or deception, identify theft and computer theft. Each of the three counts carries a maximum sentence in the United States of 10 years in prison.

A civil suit by one of the legitimate owners of P2P.com is also pending. The owner claims he has spent 30 months and US$500,000 trying to reclaim the domain name. The civil suit is filed against the alleged thief, the group that runs the on-line account system that was hacked and the person who bought the domain name, Mar Madsen. Mr Madsen did not know P2P was stolen when he bought it for US$111,000. He still retains the domain name today.

The case has further raised concerns about specific laws protecting domain name owners and the industry’s failure to provide domain name owners with deeds.

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