MySpace Spam Settlement
Posted by: Ryan Pitylak
Scott Richter and Media Breakaway were sued by Myspace in 2007 and has finally come to a close, one and a half years later, in 2008. Myspace won the suit with roughly $6M in fees due jointly and severely by both Richter and Media Breakaway; this is a big settlement fee. Richter will stay in business, as his company was listed as one of the fasted growing companies according to Inc 500. $6M due by an individual is a lot of money, and I think Myspace really made their point by making Richter jointly liable for the settlement fee.I read through the settlement docs (you can pull them from PACER) - you might spend a few dollars buying the settlement docs, but there's a lot of interesting reading within the docs.
Ultimately, I'm sure Richter is happy to have this all behind him. Bad mistakes can be costly in business, especially when it comes to internet marketing. Although this probably won't stop the onslaught of spam on Myspace, it does make it harder for myspace spammers to make money, as they'll have fewer and fewer companies willing to let them advertise for them using this marketing medium.
Written by Ryan Pitylak, an advocate for responsible internet marketing, on 06/18/08
Labels: myspace spam, ryan pitylak, scott richter, spam
Tags: Ryan Pitylak
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