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Clerk Printed Lottery Tickets She Didn't Pay For But Didn't Break Hacking Law (arstechnica.com)

Violating a company rule is not -- and should not be -- a computer crime, that was the ruling of the Oregon Supreme Court in State v. Nascimento file. The Oregon's highest court ruled that while a convenience store clerk was guilty of stealing lottery tickets through the store's computer system, she did not violate the state's anti-hacking law while doing so. ArsTechnica shares more details: The Electronic Frontier Foundation, which appeared on Caryn Nascimento's behalf during the case as an amicus curae (friend of the court), announced the narrow victory on Tuesday. According to the Supreme Court's decision, the case dates back to 2007, when Nascimento began working at Tiger Mart, a small convenience store in Madras, Oregon, about 120 miles southeast of Portland. In late 2008 and early 2009, a company vice president began investigating what appeared to be cash shortages at that store, sometimes about $1,000 per day. After reviewing video recordings that correlated with Nascimento's work schedule, this executive began to suspect that she was buying lottery tickets but not paying for them. Eventually, Nascimento was charged not only with aggravated first-degree theft but also of violating the state's computer crime law, which includes language that "any person who knowingly and without authorization uses, accesses or attempts to access any computer, computer system, computer network, or any computer software, program, documentation or data contained in such computer, computer system or computer network, commits computer crime." She was convicted on both charges at trial. On appeal before the Oregon Supreme Court, Nascimento's lawyers argued that while their client may have violated a company policy to not print lottery tickets that she did not receive payment for, she was, in fact, authorized to access the lottery printing computer.

18 of 110 comments (clear)

  1. Typical abusive prosecution by gurps_npc · · Score: 5, Interesting

    Look, when someone breaks the law, punish them for what they did, not things that are SIMILAR to what they did.

    --
    excitingthingstodo.blogspot.com
    1. Re:Typical abusive prosecution by __aaclcg7560 · · Score: 2

      How similar are "Gross Negligence" and "Extreme Carelessness"?

      Without "Criminal Intent" you have no criminal case.

    2. Re:Typical abusive prosecution by gweihir · · Score: 3, Interesting

      Naaa, In a police-state you always prosecute people to the maximum possible, no matter how stupid and unjust. After all, you have to send a message to the population who the masters are! Were would we be if the serfs could just break the law and get away with anything below a life-sentence for it.

      On a completely unrelated thought, that this even needs a court decision shows how very badly out of control the US "legal" system is these days.

      --
      Most ACs are not even worth the keystrokes to insult them. Be generically insulted by this and ignored otherwise.
    3. Re:Typical abusive prosecution by __aaclcg7560 · · Score: 2

      Hopefully the idiot will be you so that you can learn the difference between gross negligence and criminal intent.

      I have notified my attorney that you have threatened my life. If I should get run over in the near future, my attorney will have no problem persuading the authorities of your criminal intent. Expect to get the death penalty.

    4. Re: Typical abusive prosecution by iivel · · Score: 2

      Stop listening to whatever conspiracy news source you have. The Supreme Court cleared this up in 1941 (Gorin v United States). Intent to benefit a foreign power is, in fact, a requirement under that statute. You can read a really simple summay here: http://warontherocks.com/2016/...

    5. Re:Typical abusive prosecution by Aighearach · · Score: 2

      You have to use an interstate system for that. This is a State lottery system; you can't buy tickets outside the State at all. And it has to be fraud to be wire fraud; she didn't do anything fraudulent, she simply didn't pay for items (lottery tickets) that she took. She didn't lie or misrepresent anything to gain access to the system; she was a real employee.

      The Court ruled here that because as an employee she was authorized to use the lottery machine, they can't accuse her of unauthorized use of the machine; the law doesn't establish gray areas of partial authorization, it only punishes use of a computer system that was not authorized. Clearly, misuse while authorized is still authorized use, even if it violates laws related to paying for things you walk out of a store with.

    6. Re:Typical abusive prosecution by mysidia · · Score: 3, Interesting

      What we need to do is stipulate a rule: If the defendant is proven not-guilty of any one of the charges presented,
      then they are automatically released of all charges related to their chain actions that some have been deemed criminal.

      Afford the defendant the CHOICE regarding which charge or charge(s) will be decided upon first, and in what order for the subsequent ones.

      Any further charge for the same chain of actions would be double jeopardy.

      So if one of the charges is bogus, the Defendant will have that charge heard first, and once found innocent, be cleared of all the others.

      That should encourage prosecutors to only charge the offense for a certain series of actions that they actually have evidence for, And only make the high-quality charges, not specious or dubious ones "To hope something sticks"

    7. Re: Typical abusive prosecution by __aaclcg7560 · · Score: 2

      So charge her under whatever law was used against Nishimura.

      Not applicable.

      http://mediamatters.org/research/2016/07/06/right-wing-media-run-another-baseless-comparison-clinton-emails/211379

    8. Re: Typical abusive prosecution by david_thornley · · Score: 3, Informative

      The cases are not comparable. Nishimura deliberately put classified material on his personal systems. Clinton had insufficient safeguards against classified material being on her systems. There's a difference in intent here, which is why Nishimura was prosecuted and Clinton wasn't. I'm not saying what's legal or illegal here, just that nobody's found me a case like Clinton's where there was criminal prosecution.

      (Intent, in US law, in general means intent to commit an act that is illegal. Nishimura had intent in putting classified material on his systems. Clinton did not.)

      --
      "When you have eliminated the unacceptable, whatever is left, however improbable, must be the truthiness" - Holmes
  2. $1,000 a DAY was missing? by FlyHelicopters · · Score: 2

    And someone just "investigated"?

    Was the boss asleep? Whenever I've worked retail, a report was required for more than $20 missing from a cash drawer...

    $1,000 would have been unthinkable!

    1. Re:$1,000 a DAY was missing? by gmack · · Score: 4, Informative

      The money wouldn't have been missing from the cash register. It would have shown up when the store gets it's bill from the lottery company for purchased tickets that were never actually purchased.

    2. Re: $1,000 a DAY was missing? by ShaunC · · Score: 5, Informative

      But she is authorized to use the register. I don't see why she can't take all the money and claim the same defense she used here.

      Because it's still aggravated first-degree theft even if you're authorized to use the register. She stole, and was convicted for stealing. There's no need for any more charges to be piled on.

      --
      Thanks to the War on Drugs, it's easier to buy meth than it is to buy cold medicine!
    3. Re: $1,000 a DAY was missing? by JeffAtl · · Score: 2

      I think the point is that she is guilty of theft and/or embezzlement and should be punished for that. The fact that a computer or cell phone was used shouldn't matter.

      The spirit of the computer crime laws are supposed to apply to breaking into systems.

  3. This could've gone either way by davidwr · · Score: 2

    There are two common-sense readings, and the court took one of them.

    The other common-sense reading is that the employee was only authorized to access the device to do things that complied with company policy, and that her authorization to accessed it was implicitly suspended during the time she was violating company policy.

    Since the court went the way they went, expect some companies in Oregon to go back and spell out very clearly that when you are using company equipment in violation of company policy, your authorization to use the equipment is immediately suspended for the duration of your out-of-policy use and, as a result, you are violating Oregon state law and that the company reserves the right to press charges.

    Personally, I think the court made the right decision, because 1) it's very easy for companies to "work around it" by modifying their policies, and 2) the court's ruling prevents "gotcha" situations where the law was ambiguous and, prior to a judge ruling on the issue to remove the ambiguity, a reasonable person could read the law as not applying.

    --
    Knowledge is how to play a game, intelligence is how to win, wisdom is knowing what game to play.
    1. Re:This could've gone either way by silas_moeckel · · Score: 5, Insightful

      Because the physical world equivalent is she went into the store room and stole stuff while working there and having access to said store room. It would not seem reasonable to charge a store clerk with breaking and entering etc for going into the back room and stealing stuff and this is no different.

      --
      No sir I dont like it.
    2. Re:This could've gone either way by pezpunk · · Score: 2

      very good analogy. this wasn't theft and hacking, this was just theft.

      a store clerk stealing from the till can't be charged with breaking into the store.

      --
      i could live a little longer in this prison
  4. It's about time by omnichad · · Score: 3, Insightful

    It's about time someone set the right precedent. Now there's finally some good case law for every count of "crime...but on a computer" to NOT count as a violation of CFAA.

  5. What value, side note by Archfeld · · Score: 2

    What was the value of the lottery tickets stolen ? Was it valued at the $1.00 per pick or the value if you won ? It was only $1.00 at the time of the theft, can they retroactively apply appreciation to the value of the item ? If you stole $10.00 from the till and one of the dollars turned out to be a rare silver certificate, but that fact was unknown to any party involved at the time of the crime, I wonder if the crime is still a $10.00 theft ?

    --
    errr....umm...*whooosh* *whoosh* Is this thing on ?