Ebay, Inc. v. Bidder's Edge, Inc. - 100 F. Supp. 2d 1058 (N.D. Cal. 2000)

Rule:

In order to prevail on a claim for trespass based on accessing a computer system, the plaintiff must establish: (1) defendant intentionally and without authorization interfered with plaintiff's possessory interest in the computer system; and (2) defendant's unauthorized use proximately resulted in damage to plaintiff.

Facts:

Plaintiff eBay, Inc.'s ("eBay"), an internet-based trading site, brought suit against defendant Bidder's Edge, Inc. ("BE"), an internet-based aggregation site, seeking an injunction preventing defendant from accessing eBay’s computer system by use of an automated querying program. eBay alleged nine causes of action: trespass, false advertising, federal and state trademark dilution, computer fraud and abuse, unfair competition, misappropriation, interference with prospective economic advantage and unjust enrichment. eBay moved for a preliminary injunction.

Issue:

Did eBay sufficiently demonstrate a likelihood of success on the merits of its trespass claim, and the possibility that it would suffer irreparable injury if BE were allowed to continue its ongoing trespass, thus, warranting the grant of preliminary injunction?

Answer:

Yes.

Conclusion:

The court granted the injunction based on the trespass claim. It did not address the merits of eBay’s other claims. The court held that BE intentionally and without authorization interfered with eBay’s possessory interest in the computer system and that defendant's unauthorized use proximately resulted in damage to eBay. It found that eBay sufficiently demonstrated a likelihood of success on the merits of its trespass claim, and the possibility that it would suffer irreparable injury if BE were allowed to continue its ongoing trespass. The court further found that the balance of hardships tipped sharply in eBay’s favor.