Companies Retaliate Against Hacking Attacks

Frustrated by their inability to stop sophisticated hacking attacks or use the law to punish their assailants, an increasing number of U.S. companies are taking retaliatory action. Known in the cyber security industry as "active defense" or "strike-back" technology, the reprisals range from modest steps to distract and delay a hacker to more controversial measures. Security experts say they even know of some cases where companies have taken action that could violate laws in the United States or other countries, such as hiring contractors to hack the assailant's own systems.

Facebook to Pay $10 Million to Settle Privacy Suit

Facebook Inc has agreed to pay $10 million to charity to settle a lawsuit that accused the site of violating users' rights to control the use of their own names, photographs and likenesses, according to court documents. The lawsuit, brought by five Facebook members, alleged the social networking site violated California law by publicizing users' "likes" of certain advertisers on its "Sponsored Stories" feature without paying them or giving them a way to opt out, the documents said.

Hateful Comments Flourish as Myanmar Ends Censorship

Over the past year, Myanmar’s government has ended its heavy censorship, allowing citizens unfettered access to a wide variety of Web sites that had been banned during military rule. When the government first began dismantling its Internet controls in August, visits to sites like YouTube soared. But as the poverty-stricken country of 55 million makes a delicate transition to democracy, hateful comments are also flourishing online about a Muslim ethnic group, the Rohingya, that is embroiled in sectarian clashes in western Myanmar that have left more than two dozen people dead.

Judge Allows New Hearing in Apple-Motorola Patent Case

A judge who effectively tossed patent claims and counterclaims between Apple and Google's Motorola unit has reversed himself, granting Apple's request for a new hearing on possible injunctions that would block sales of its rival's mobile products. Judge Richard Posner's ruling, in the U.S. District Court for Northern Illinois, also opens the door for Motorola to restate its case for similar injunctions against Apple.

Canadian Internet Pharmacy Leader Arrested in Miami

In a sign of a stepped-up crackdown on the illegal pharmaceutical trade, U.S. authorities arrested Andrew Strempler, 38 years old, a pioneer of the Canadian Internet pharmacy industry, on charges related to the sale of foreign and counterfeit medicines, according to officials in Miami. Andrew Strempler, a pioneer of the Internet pharmacy trade implicated in selling counterfeit drugs to Americans, was arrested in Miami.

Chinese Court Withholds Judgment in iPad Trademark Case

It has been a little over three months since Apple appealed to the Higher People’s Court of Guangzhou, a lower Chinese court ruling that found it erroneously purchased the iPad China trademark from a Proview affiliate that didn’t have the right to sell it. But the Higher People’s Court of Guangzhou is withholding judgement on the case because its two players are in mediation talks.

Small Businesses Hurt by 'Corporate Account Takeovers'

Computer security specialists say crimes called “corporate account takeovers” have become increasingly common, and small businesses are especially easy prey because many lack firewalls and monitoring systems. Gartner, an information technology research company, says regulators have not compiled statistics on the extent of the fraud, but the company estimates that more than 10 percent of small businesses have had funds stolen from their bank accounts — losses totaling more than $2 billion.

Judge Rejects Apple's Effort to Dismiss Mobile-Tracking Suit

Apple Inc. must defend against a lawsuit accusing it of letting advertisers secretly track the activity of millions of mobile device users, a federal judge ruled, but Google Inc. and several other defendants were dismissed from the case. Owners of iPhones, iPads and iPod Touches may pursue claims against Apple under two California consumer protection laws, U.S. District Judge Lucy Koh in San Jose, California, said in a decision.

Judge Refuses Request to Serve Papers via Facebook

In the latest example of courts’ unease with social media, a federal judge has refused a request by Chase Bank to serve legal papers on an identity thief via Facebook. In an order issued in Manhattan, US District Judge John Keenan said “service by Facebook is unorthodox to say the least” and told the bank to instead place ads in local newspapers in and around the town of Hastings, New York.

FTC Fines Data Collector Spokeo $800,000

The Federal Trade Commission assessed an $800,000 fine against Spokeo, a data collector that the commission said violated federal law by compiling and selling people’s personal information for use by potential employers in screening job applicants. The action is the F.T.C.’s first case addressing the sale of Internet and social media data for use in employment screening.

Man Pleads Not Guilty to Stealing 44,000 Credit Card Numbers

In an investigation that spanned from a Seattle restaurant to Romania, a 21-year-old Dutch national pleaded not guilty to federal computer hacking charges that include the theft of at least 44,000 credit card numbers. Federal prosecutors said David Benjamin Schrooten is a prominent figure known as "Fortezza" in the international hacking community who sold stolen credit card numbers in bulk through websites.