ReverseAuction has agreed to pay $1.2 million and to quit harvesting emails from eBay's site as part of a settlement agreement. [Wired]

A Colorado legislative committee has passed a bill that would require spammers to tag unsolicited email with a special subject line. [Wired]

Ask Hotmail users about their email accounts and most likely they will gripe how impossible it is to eliminate spam. [Wired]

A dispute between a domain name registrar and a Web hosting company could set legal limits on accessing and using personal information on Internet whois databases. [Wired]

To correct serious security flaws, Microsoft on Friday disabled the virtual wallet function of its Passport service and has begun notifying partners about the vulnerabilities, the company has confirmed. By Brian McWilliams.

A previously unknown group known as Hackers Unite has claimed responsibility for publicizing Hotmail's security breach, which Microsoft vehemently denied was the result of a backdoor oversight. By James Glave.

No sooner was one catastrophic security flaw closed Monday -- one that exposed millions of Hotmail accounts to prying eyes -- when another one appeared. By Declan McCullagh and Ja.

A Danish government official has reported a security hole that could allow unauthorized access to private accounts on Hotmail, the free Web email service. The company confirmed the hole exists and said Friday it would patch it within a day. By Michael...

As outages and service problems continue to plague Microsoft's free email service Hotmail, users who try to cancel their accounts may be in for a surprise: They can't. By Polly Sprenger.

Microsoft has fixed a serious vulnerability in its Hotmail email program that tricks users into sending their usernames and passwords to an outside email address. By Michael Stutz.