The Domain
During this litigation, we believe that Breaking Code Silence’s posture is that they believe that they somehow already own Mrs. McNamara’s domain. Even more stunning, Breaking Code Silence admitted, through discovery, that Mrs. McNamara purchased this domain over a year before the company was incorporated, BCS did not demand Mrs. McNamara’s domain from her after her resignation, and they did not even contact her to inform her that they believed they owned the domain before the filing of this action.
Background
From Whiteley’s Motion for Summary Judgment:
“In March 2020, to prevent anyone else from purchasing and co-opting a similar domain ending in “.org,” McNamara purchased the “breakingcodesilence.org” domain name (the “.Org Domain”), using her own personal domain registrar account (Hover.com) and her own funds. (UMF 12.) McNamara has since renewed the .Org Domain each year with her own funds, and never transferred or assigned ownership of the .Org Domain to anyone else. (UMF 13-14.) The .Org Domain has always been registered under McNamara’s personal Hover.com domain registrar account, which she has owned since 2016. (UMF 19.) Because McNamara has been verified through Google as the domain owner, she has access to all domain-related Google services for the .Org Domain through her own Google account. (UMF 20.)”
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“At the founding of BCS, McNamara allowed the .Org Domain to direct to BCS’s WordPress website, thereby granting BCS permissions to access the domain-related services for the .Org Domain through its Google account. (UMFs 21, 23.) BCS never provided McNamara any consideration for that use of the domain. (UMF 22.) In April 2021, BCS also purchased the “breakingcodesilence.com” domain (the “.Com Domain”) and initially housed it in McNamara’s Hover account. (UMF 46.) BCS continues to own the .Com Domain, and has since moved the domain into its own Hover account.”
Below are the receipts proving that Mrs. McNamara has always maintained the domain in her own name, with her own personal funds, and in her own personal Hover.com account before Breaking Code Silence existed to the present day.
After Mrs. McNamara’s Resignation
Per Mrs. McNamara’s Declaration In Support of Whiteley’s Motion for Summary Judgment:
“After my resignation, on December 15, 2021, Rebecca Moorman, Emily Carter, and I received an email from Jennifer Magill requesting that we each execute an Intellectual Property Assignment Agreement. A true and correct copy of the December 15, 2021 email I received from Jennifer Magill with the attached draft Assignment of Intellectual Property Agreement is attached to the Index of Exhibits as Exhibit 11. I never executed the Assignment of Intellectual Property Agreement and never otherwise transferred or assigned the .Org Domain to BCS. BCS has never paid any expenses associated with the .Org Domain, either directly or to me as reimbursement. And BCS never even contacted me after my resignation to follow up about the Assignment of Intellectual Property Agreement or otherwise ask me to turn over my .Org Domain to BCS.”
Below is the email and the unexecuted Assignment of Intellectual Property that Mrs. McNamara:
In her deposition, Breaking Code Silence’s CEO, Jennifer Magill, testified to the following on November 14th, 2023:
Even in Breaking Code Silence’s Responses to McNamara’s First Set of Interrogatories, Breaking Code Silence admits “Plaintiff is not contending that McNamara transferred or assigned the domain to Plaintiff.” and “While she did not transfer or assign it, she should have and her failure to do so is a breach of her duties owed to the Plaintiff…”
See below for Breaking Code Silence’s response.
In Chelsea Papciak aka Chelsea Filer’s deposition, Ms. Papciak testified to the following:
Per Mrs. McNamara’s Declaration In Support of Whiteley’s Motion for Summary Judgment:
“After my resignation, BCS never requested that I transfer the .Com Domain that BCS purchased from Joshua Scarpuzzi out of my Hover domain registrar account. In an effort to assist BCS in migrating off of my .Org Domain, I created a separate Hover domain registrar account for the .Com Domain and authorized my attorney to reach out to counsel for BCS and provide BCS with the login credentials for the separate Hover account. On March 18, 2022, my attorney, Mandana Jafarinejad, sent a letter to DLA Piper requesting that BCS migrate its website to the .Com Domain within ten days.
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Rather than migrating its website to its own .Com Domain within ten days as requested, on March 28, 2022, BCS/DLA Piper filed this lawsuit, falsely alleging that Whiteley and I accessed numerous BCS accounts without authorization, or exceeded authorized access to such accounts.”
A copy of the demand letter sent to BCS before they filed this action can be read here.
In Conclusion
The Ninth Circuit Court of Appeals has relied on the legislative history of the CFAA to confirm its plain reading of the statute. Specifically, the court has cited the 1984 House Report’s comparison of section 1030 of the CFAA to “breaking and entering.” Furthermore, the Ninth Circuit Court has long held that authorization has to be revoked explicitly and authorization needs to be affirmatively rescinded after initial authorization is granted for conduct to be a violation of the CFAA. Other recent cases also reflect this. There was even a recent Supreme Court Ruling related to this issue of authorized access which referred to the Ninth Circuit case authority.
In this case, Breaking Code Silence has admitted that Mrs. McNamara never completed an Assignment of Intellectual Property to transfer her domain to them. Through their discovery responses, BCS admitted that Mrs. McNamara never transferred or assigned the domain to them, only that they believed she had a duty to. BCS admitted that Mrs. McNamara was paid no consideration for her domain. BCS did not demand the. Org domain from Ms. McNamara in the four-month gap between the time she resigned to the filing of this action, so even if its posture was that it owned the domain, it never explicitly revoked authorization.
However, Mrs. McNamara explicitly revoked Breaking Code Silence’s access to her domain on March 18th, 2022 via a demand letter. Instead of migrating to the .Com domain, Breaking Code Silence filed this action on what was supposed to be their final day to migrate away from the .Org domain.
To quote Mrs. McNamara’s Declaration in Support of Whiteley’s Motion for Summary Judgment:
“Although I could do so as the domain owner at any time, I never redirected the .Org Domain to any other website (other than BCS’s website) after my resignation or revoked BCS’s privileges with respect to the .Org Domain, initially because I wanted to give BCS some time to migrate off of the .Org Domain onto its own .Com Domain, and later because of this litigation. I elected to maintain the status quo until this action could be resolved, resulting in BCS using my .Org Domain without paying anything for it for nearly two years since my resignation. Notwithstanding, I have always understood and believed, and still believe, that I own the .Org Domain and that, as the domain owner, I was entitled to delegate ownership permissions to Whiteley, or anyone else I chose.”
At no point after Mrs. McNamara’s resignation did she redirect the domain from BCS’ WordPress site or revoke their use of her domain absent notice. Instead, BCS has been allowed the benefits of use of Mrs. McNamara’s domain for almost two additional years by filing this action while Mrs. McNamara continues to pay the renewal fees for her domain.