Thursday, May 29, 2008

Email Marketing: Are You Liable For Your Affiliates CAN-SPAM Violations?

How you build and practice your email list involves the federal CAN-SPAM Act of 2003 (CAN-SPAM). CAN-SPAM applies to essentially all businesses in the United States which send commercial email, which is defined as any email message "the primary purpose of which is the commercial advertisement or promotion of a commercial product or supply (including content on an Internet website operated for a commercial purpose)". Nearly any business email is covered by CAN-SPAM, including email newsletters as well as standalone promotional emails.CAN-SPAM's Regulatory Impact Specifically, CAN-SPAM prohibits: * false and misleading header data - your email "From, " "To, " and routing news - including the originating domain nickname and email lodging - must be accurate and identify the person who initiated the email; and * deceptive subject lines - your subject border cannot mislead the recipient about the contents or subject business of the message. In addition to the foregoing pro
hibitions, CAN-SPAM imposes these requirements: * a functioning email unsubscribe system or reply residence that operates for at least 30 days after the latest emailing; and * a system for obtaining "prior affirmative assent" from the email recipient if your client desires not to insert in each email the client's postal domicile and a clear indication that the email includes a solicitation. The consequences of non-compliance are severe. CAN-SPAM permits damages up to $2 million for violators, and a U.S. District Court may treble the damages to $6 million. Deceptive commercial email also is subject to laws banning false or misleading advertising. Are You Liable For Your Affiliate's Spamming Activities? One issue that will receive attention in the near future regarding CAN-SPAM is when is an advertiser liable for the spamming activities of its downstream affiliates? In other words, while you might not send email in violation of CAN- SPAM yourself, you may enga
ge affiliates who do. Will you be liable for your affiliates' spamming activities? The words of CAN-SPAM plainly contemplates a situation where one entity or person either pays for or otherwise induces another on their behalf to send email in violation of CAN-SPAM. In such a case, the result would be a joint violation of CAN-SPAM. So, you could be held liable for the spamming activities of your affiliates. In order for you to be held liable for the spamming activities of your affiliates, it would seem to depend significantly on facts indicating your knowledge and control of your affiliates' actions. If you market through affiliate programs, be aware of this potential liability, and keep a close watch on the legal developments in this area. Conclusion In summary, the easiest plan to stay in compliance with CAN-SPAM is to be mindful of CAN-SPAM's rules and to outsource your commercial email to an online advantage that exclusively uses double opt-in email
lists and otherwise strictly complies with the law. In addition, monitor your affiliates carefully, generate it clear that you require strict CAN-SPAM compliance, and terminate the ones that do not comply. Full text: http://computerandtechnologies.com/email/news_2008-05-29-22-00-04-645.html

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