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Legal Technology: Game Theory LLC Pays $500k for Mobile Phone Spam

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September 18, 2012

Game Theory LLC Pays $500k for Mobile Phone Spam

By Daniel Brecht, Contributing Writer

The online media marketing company, Game Theory LLC of San Jose, California, is being held accountable for its “bad” conduct in sending spam text messages – over 150,000 of them – to wireless telephones in New York, in attempt to deceive New Yorkers into signing up for texting services that they received, either by wireless telephone applications or ads.

New York recipients were unknowingly responding to the SMS scams sent by Game Theory, which appeared as ads of its premium text message service. Many fell victim into signing up and paying for a marketing service, without their consent, at a cost of $9.99 a month.

The act of sending unsolicited bulk messages has already been seen abusive by the State of New York. Game Theory’s phone swindling scams and fraudulent actions, having sent false information and financially misleading statements to New Yorkers, resulted in a civil fine.

It was decided by state officials to have Game Theory pay $500,000 for sending unsolicited commercial advertisements via text messaging.

The agreement had Game Theory stop sending spam messages to New Yorkers and pay for its willful and intentional acts. Jiffy Lube was recently in a similar case, as they too paid big money for sending unsolicited spam.

This wasn’t the first time Game Theory had committed such acts of mobile phone spam; in 2001, they sent mobile users unsolicited commercial electronic messages. For disregarding anti-spam laws and misusing mobile phone text messaging (SMS), the company has not only had to pay for the damages it has done, but it is now out of the SMS business for good. 

These days, there are consumer protection laws that forbid anyone from sending spam text messages with fraudulent intent or to steal someone's identity. But there are some ways to avoid SMS spam, and that is not to respond to anonymous text messages, to block annoying ones or report it to one’s carrier.  

Those who are an AT&T (News - Alert), T-Mobile or Verizon subscriber can copy the text and send it to SPAM (7726).

To also avoid being charged for unwanted cell phone services or having the phone infected with malicious software, users can check out other good practices that consumers can follow to protect them against a cell phone scam.

Click here to know more. 

Want to learn more about the latest in communications and technology? Then be sure to attend ITEXPO West 2012, taking place Oct. 2-5, in Austin, TX. Stay in touch with everything happening at ITEXPO (News - Alert). Follow us on Twitter.

Edited by Braden Becker



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