FTC v. 1268957 Ontario

Citation: Federal Trade Comm’n v. 1268957 Ontario (N.D. Ga. 2001); 2002 WL 32154245 (N.D. Ga. 2002).

Factual Background
The FTC sued a Canadian Internet firm for allegedly defrauding e-businesses in a domain name scam that may have victimized as many as 27,000 companies at a cost of $1.8 million. The suit asks for injunctive relief against the corporations and their owner “against further deceptive business practices, a freeze on defendants’ assets and an order shutting down [the owner’s] websites.”

Trial Court Decision
The court issued a temporary restraining order requiring “the defendants’ websites to be removed from public access. . . that the registrars for the defendant’s domain names immediately suspend the registration of the names,” and freezing the assets. However, the court did not order the websites to be destroyed.

In a later order, the trial court entered a Stipulated Final Order for Permanent Injunction and Consumer Redress.