4th Circ. Upholds $163M 'Scareware' Penalty Against Exec

Law360, New York (February 25, 2014, 6:47 PM EST) -- The Fourth Circuit on Tuesday upheld a $163 million judgment against an executive at a company accused by the Federal Trade Commission of operating a “scareware” scheme that tricked consumers into thinking their computers were infected with malicious software in order to sell a supposed fix.

Kristy Ross, a vice president at Innovative Marketing Inc., was found, along with other company executives, to be liable for the damages award in a 2012 Maryland federal court ruling. On appeal, Ross challenged the district court’s judgment on several...
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