Why Two District Courts Dismissed Valid Computer Fraud and Abuse Claims for Lack of Jurisdiction

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Two federal district courts, one in Maryland and the other in Texas, dismissed what each court considered to be valid civil claims under the Computer Fraud and Abuse Act (“CFAA”). Title 18 U.S.C. § 1030. The CFAA is the federal computer crime statute that provides a civil cause of action to “any person who suffers damage or loss by reason of a violation of the” statute. The ground for dismissal in each case was the lack of federal jurisdiction for failure to meet the CFAA’s jurisdictional requirement of $5,000 in loss. Costar Realty Information, Inc. v. Field, 2010 WL 3369349 *14 (D. Md. August 23, 2010); M-I LLC v. Stelly, 2010 WL 3257972 (S.D. Texas, Aug. 17, 2010).

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