Critics Face Legal Woes

Many companies who find themselves being publicly criticized by “anonymous” sources are no longer taking a passive stance to these often-unsubstantiated assaults. For example, H&R Block recently filed a defamation suit against an unknown entity that the financial services company suspects is actually an employee of the firm.

While the defendant is currently anonymous, the suit was filed in the Kansas City federal court against the defendant’s ‘screen name,’ “John Doe, a/k/a ‘Enron junior’,” over alleged disclosures on Yahoo’s message board of confidential and misleading information. The lawsuit which seeks unspecified damages alleges that the defendant posted messages about a pending lawsuit.

Characterizing the poster’s comments as “false and inaccurate,” the suit alleges that the messages violated company policies, federal securities laws, and that they were defamatory.

Despite “diligent investigation,” H&R Block has not discovered the defendant’s identity, and as a result has subpoenaed Yahoo! to reveal the poster’s name – something that Yahoo! has done for Block in the past – after being subpoenaed in 2000 over nine individuals who allegedly posted confidential information.

While suits designed to compel ISPs to provide user information have increased, courts have typically sided with users, upholding their free speech rights, a California federal court case resolved in February, however, that a message board poster who was the plaintiff’s business competitor could face a defamation and unfair competition suit. Recognizing that message boards are a “public forum,” the court nonetheless held that the negative posts were actually “commercial” speech – and therefore not entitled to the same First Amendment protections as “political” speech.

According to H&R Block spokeswoman Linda McDougall, “Certainly anyone has the right to voice their opinions in a variety of forums, but when you cross the line from opinion and you’re stating something as fact that is not fact, you need to be held responsible for what you say.” While McDougall claimed that H&R Block respected an Internet poster’s privacy and anonymity, she stated that “…they have to take responsibility for what is posted.”

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Pineapple Support to Hold Mental Health Summit

The annual Pineapple Support Mental Health Summit is taking place Dec. 15-17.

Ofcom Fines AVS Group $1.3 Million for AV Noncompliance

U.K. media regulator Ofcom on Wednesday imposed a penalty of one million pounds, or approximately $1.3 million, on AVS Group Ltd. after an investigation concluded that the company had failed to implement robust age checks on 18 adult websites.

Updated: Aylo to Help Test EU Age Verification App

Pornhub parent company Aylo plans to participate in the European Commission’s pilot program for its “white label” age verification app, a spokesperson for the company has confirmed.

Missouri Lawmaker Attempts to Revive 'Health Warnings' for Adult Sites

A Missouri state representative has introduced a bill that would require adult sites to post notices warning users of alleged physical, mental, and social harms associated with pornography, despite a previous federal court ruling against such requirements.

New Age Verification Service 'BorderAge' Launches

French startup company Needemand has officially launched its subscription-based age verification solution, BorderAge.

Ruling: Italy's 'Porn Tax' Applies to All Content Creators

Italy’s tax revenue agency has ruled that the nation’s 25% “ethical tax” on income generated from adult content applies even to smaller independent online content creators.

Proposed New Hampshire AV Bill Appears to Violate Constitution

A bill in the New Hampshire state legislature, aimed at requiring adult sites to age-verify users in that state, contains a provision that seemingly contradicts the Supremacy Clause in Article VI of the U.S. Constitution.

AEBN Publishes Report on Fetish Trends

AEBN has published a report on fetish categories from its straight and gay theaters.

Online Child Protection Hearing to Include Federal AV Bill

A House subcommittee will hold a hearing next week on a slate of bills aimed at protecting minors online, including the SCREEN Act, which would make site-based age verification of users seeking to access adult content federal law.

Industry Photographer, 'Payout' Founder Mike B Passes Away

Longtime industry photographer and publisher Michael Bartholomey, known widely as Mike B, passed away Saturday.

Show More