• 10th Circuit Considers Whether Cloud Computing Satisfies Interstate Nexus Requirement of Federal Criminal Statutes
  • July 17, 2012 | Authors: Amos Elberg; Melanie Ann Hines; Sharon L. Kegerreis; Charles H. Lichtman; Etan Mark
  • Law Firms: Berger Singerman LLP - Miami Office ; Berger Singerman LLP - Tallahassee Office ; Berger Singerman LLP - Miami Office ; Berger Singerman LLP - Fort Lauderdale Office ; Berger Singerman LLP - Miami Office
  • On June 11, 2012, the United States Court of Appeals for the Tenth Circuit issued an opinion in United States v. Kieffer, No. 10-1391, applying the “in interstate ... commerce” requirement of the Federal Wire Fraud statute, 18 U.S.C. § 1343, to cloud computing. As discussed below, the Tenth Circuit’s expansive interpretation of the statute seems to undermine a previous line of cases holding that mere use of the Internet to perpetrate a fraud does not create a sufficient interstate nexus for federalization of alleged criminal behavior. The holding seems to render the requirement of an interstate nexus de minimis, at least where a website is involved. White-collar criminal defense lawyers, as well as civil litigators, need to be aware of the changing jurisprudence on this issue.