15 U.S.C. § 7705

Businesses knowingly promoted by electronic mail with false or misleading transmission information

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(a) In generalIt is unlawful for a person to promote, or allow the promotion of, that person’s trade or business, or goods, products, property, or services sold, offered for sale, leased or offered for lease, or otherwise made available through that trade or business, in a commercial electronic mail message the transmission of which is in violation of section 7704(a)(1) of this title if that person—(1) knows, or should have known in the ordinary course of that person’s trade or business, that the goods, products, property, or services sold, offered for sale, leased or offered for lease, or otherwise made available through that trade or business were being promoted in such a message;(2) received or expected to receive an economic benefit from such promotion; and(3) took no reasonable action—(A) to prevent the transmission; or(B) to detect the transmission and report it to the Commission.(b) Limited enforcement against third parties(1) In general

Except as provided in paragraph (2), a person (hereinafter referred to as the “third party”) that provides goods, products, property, or services to another person that violates subsection (a) shall not be held liable for such violation.

(2) ExceptionLiability for a violation of subsection (a) shall be imputed to a third party that provides goods, products, property, or services to another person that violates subsection (a) if that third party—(A) owns, or has a greater than 50 percent ownership or economic interest in, the trade or business of the person that violated subsection (a); or(B)(i) has actual knowledge that goods, products, property, or services are promoted in a commercial electronic mail message the transmission of which is in violation of section 7704(a)(1) of this title; and(ii) receives, or expects to receive, an economic benefit from such promotion.(c) Exclusive enforcement by FTC

Subsections (f) and (g) of section 7706 of this title do not apply to violations of this section.

(d) Savings provision

Except as provided in section 7706(f)(8) of this title, nothing in this section may be construed to limit or prevent any action that may be taken under this chapter with respect to any violation of any other section of this chapter.

(Pub. L. 108–187, § 6, Dec. 16, 2003, 117 Stat. 2710.)Editorial NotesReferences in Text

This chapter, referred to in subsec. (d), was in the original “this Act”, meaning Pub. L. 108–187, Dec. 16, 2003, 117 Stat. 2699, which is classified principally to this chapter. For complete classification of this Act to the Code, see Short Title note set out under section 7701 of this title and Tables.

Statutory Notes and Related SubsidiariesEffective Date

Section effective Jan. 1, 2004, see section 16 of Pub. L. 108–187, set out as a note under section 7701 of this title.

Notes of Decisions

Cited in 1 case, 2007–2007 · leading case: Fed. Trade Comm'n v. Cleverlink Trading Ltd., 519 F. Supp. 2d 784 (N.D. Ill. 2007).

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Fed. Trade Comm'n v. Cleverlink Trading Ltd., 519 F. Supp. 2d 784 (N.D. Ill. 2007). “15 U.S.C. § 7705 (b)(1), (2). It is undisputed that *793 Relief Defendants provided only a service to Cleverlink and did not have an economic interest in Cleverlink or knowledge of its violations.”

Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.