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Somebody is spamming tons of people with my domain name in the from field, so it looks like I'm spamming. I'm getting all these bouncebacks (the ISPs are bouncing them to me) with bizarre addresses like firstname.lastname@example.org. Although it might not be on too large of a scale yet because I'm not on a blacklist.
I'm concenred that this outright fraud could impact my reputation and/or get me stuck on a spam filter list which affects my business.
I'm going to forward it to the spam blacklist people (Spamhaus, others?) and attempt to bounce back anything that I get sent to a weird email@example.com address.
What else can I do? Any recommendation on tracking them down? Is there any grounds to sue based on fraud (I'm in NY)?
Getting blacklisted requires a reliable trace back to your system, which wont be there if you didn't send it.
On the losing reputation front spoofs are so common that very few people treat them with much credibility anymore, if you want to do anything then put a link to a brief explanation on your homepage so that if someone goes to the domain to work out who to complain to it's made obvious what's happened.
If the bounces are hurting business then block mail to that account to avoid recieving them.
Lastly if you have any copies of the actual spam with the original headers you might want to plug it into spamcop.net, but I'd give you good money it'll either be from china or via an open proxy.