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Nike sued by Scottish-based ISP over web site attack

OUT-LAW News, 23/01/2001

FirstNET, an Edinburgh-based ISP, is suing Nike in the courts of Scotland and possibly the US, claiming unpaid fees and damages in connection with a hacking incident on the web site of the sportswear giant.

In June last year, hackers succeeded in diverting all Nike’s web and e-mail traffic to www.s11.org, a site for activists protesting against corporate greed, via FirstNET, using the redirection service of the ISP.

FirstNET is claiming £25,000 plus VAT and costs in connection with its efforts to restore web and e-mail service to the Nike site, which included handling over 1.25 million requests during a 46 hour period and involved forwarding a substantial amount of e-mail for Nike to an alternate address so that the S11 group would not intercept it.

FirstNET is seeking to enforce payment of its outstanding invoice in Scotland’s Court of Session, the sum sued for representing what it says is a reasonable charge for the work involved.

Managing Director of FirstNET, Greg Lloyd Smith, indicated that his company would pursue a separate action for damages in the US against Nike for its negligence in failing to provide adequate security on its site. Explaining that a web site can be an “attractive nuisance,” a principle recognised in US courts, Mr Smith said:

“Much the same as a swimming pool in your back garden, such a potential danger must be protected at all costs in order to prevent damage or loss to others. The fact that Nike failed to ensure adequate security measures for their web address caused considerable damage to our company and denial of services to our on-line clients. Nike should be held responsible for all resulting losses.”

Mr Smith added that when Nike registered its domain name with Network Solutions Inc., it would have agreed to the registrar’s terms and conditions. “The second condition makes it clear that the party registering the name is responsible for the security of the web site. Nike didn’t even have the most basic security on its site.”

 

 

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