United States v. Edward Soybel

13 F.4th 584
CourtCourt of Appeals for the Seventh Circuit
DecidedSeptember 8, 2021
Docket19-1936
StatusPublished
Cited by4 cases

This text of 13 F.4th 584 (United States v. Edward Soybel) is published on Counsel Stack Legal Research, covering Court of Appeals for the Seventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Edward Soybel, 13 F.4th 584 (7th Cir. 2021).

Opinion

In the

United States Court of Appeals For the Seventh Circuit ____________________ No. 19-1936 UNITED STATES OF AMERICA, Plaintiff-Appellee, v.

EDWARD SOYBEL, Defendant-Appellant. ____________________

Appeal from the United States District Court for the Northern District of Illinois, Eastern Division. No. 17 CR 796 — Matthew F. Kennelly, Judge. ____________________

ARGUED JUNE 3, 2020 — DECIDED SEPTEMBER 8, 2021 ____________________

Before SYKES, Chief Judge, and BAUER and ST. EVE, Circuit Judges. SYKES, Chief Judge. Industrial-supply company W.W. Grainger was the victim of a series of cyberattacks against its computer systems in 2016. Grainger isolated the source of the intrusions to a single internet protocol (“IP”) 2 No. 19-1936

address, which came from a high-rise apartment building where disgruntled former employee Edward Soybel lived.1 Grainger reported the attacks to the FBI. To confirm the source, the government sought and received a court order under the Pen Register Act, 18 U.S.C. §§ 3121 et seq., author- izing the installation of pen registers and “trap and trace” devices to monitor internet traffic in and out of the building generally and Soybel’s unit specifically. 2 Among the data collected, the pen registers recorded the IP addresses of the websites visited by internet users within Soybel’s apartment. The IP pen registers were instrumental in confirming that Soybel unlawfully accessed Grainger’s system. The district court denied Soybel’s motion to suppress the pen-register evidence and its fruits, and a jury convicted him of 12 counts of violating the Computer Fraud and Abuse Act. This appeal presents a constitutional issue of first im- pression for our circuit: whether the use of a pen register to identify IP addresses visited by a criminal suspect is a Fourth Amendment “search” that requires a warrant. We hold that it is not. IP pen registers are analogous in all material respects to the telephone pen registers that the Supreme Court upheld against a Fourth Amendment chal-

1 Every device connected to the internet has a unique IP address, typically consisting of a sequence of numbers. See United States v. Caira, 833 F.3d 803, 805 (7th Cir. 2016). An IP address “is used to route infor- mation between devices, for example, between two computers.” United States v. Ulbricht, 858 F.3d 71, 84 (2d Cir. 2017) (quotation marks omitted).

2 A pen register records certain outgoing electronic signals, whereas a trap-and-trace device records incoming ones. See 18 U.S.C. § 3127(3)–(4). For the sake of simplicity, we use the term “pen register” to refer to both devices. No. 19-1936 3

lenge in Smith v. Maryland, 442 U.S. 735 (1979). The connec- tion between Soybel’s IP address and external IP addresses was routed through a third party—here, an internet-service provider. Soybel has no expectation of privacy in the cap- tured routing information, any more than the numbers he might dial from a landline telephone. Soybel insists that this case is governed not by Smith but by Carpenter v. United States, 138 S. Ct. 2206 (2018). We disagree. Carpenter concerned historical cell-site location information (“CSLI”). The warrantless acquisition of that type of data implicates unique privacy interests that are absent here. Historical CSLI provides a detailed record of a person’s past movements, which is made possible so long as he carries a cell phone. In contrast, the IP pen register had no ability to track Soybel’s past movements. And Carpenter is also distinguishable based on the extent to which a person voluntarily conveys IP-address information to third parties. Accordingly, though our reasoning differs from the district judge’s, we hold that the suppression motion was properly denied. Soybel also challenges the sufficiency of the evidence on one of the 12 counts. We reject this argument and affirm the judgment in all respects. I. Background Edward Soybel worked as an IT contractor for Grainger’s KeepStock business unit from November 2014 until he was fired in February 2016. KeepStock provides Grainger cus- tomers with proprietary software and industrial equipment- dispensing machines to optimize their inventory manage- ment. Dispensing machines at customer sites across the 4 No. 19-1936

country connect to computer servers at Grainger’s Niles, Illinois facility, which also serves as the home base for the KeepStock IT helpdesk where Soybel worked. KeepStock stores information about its dispensing ma- chines and its customers’ log-in credentials in large “data- base tables.” Helpdesk staff have their own KeepStock usernames and passwords, and when logged in to the KeepStock system, they could add and delete information in the tables. Performing the same functions remotely (outside the Grainger firewall) required access to the KeepStock “desktop client”—an application downloaded to a comput- er. In July 2016 Grainger discovered that over the course of a week, someone with Grainger log-in credentials had ac- cessed KeepStock and deleted millions of records from the database tables. As a result, KeepStock was effectively shut down for Grainger employees and customers alike until IT personnel could restore the data. An internal investigation revealed that the culprit had deleted the records via the desktop client using the log-ins of several current KeepStock employees, including Soybel’s former supervisor. Further investigation led Grainger to believe that the intrusions all came from the same IP address outside of Grainger’s net- work. Grainger reported the IP address to the FBI, which then determined that the address came from a large apart- ment building in Chicago where Soybel lived with his mother. However, the FBI could not yet confirm that Soybel was responsible. The identified IP address came not from an individual unit but from the building’s “master router” that distributed internet service throughout the building. The No. 19-1936 5

master router was, in effect, the middleman between the individual units and the rest of the internet. Each unit in the building had its own unique private IP address, but when an individual user accessed a website, only the master router’s IP address would be visible to that website’s servers. At the same time, the master router knew to which private IP address it should relay that website’s traffic. The upshot is that when an internet user in the building connected to Grainger’s servers, only the master router could confirm the private IP address—and thus the specific apartment unit— that was responsible for the KeepStock attacks. To confirm its suspicions about Soybel, the government applied for an order under the Pen Register Act to install IP pen registers for the master router and Soybel’s unit for 60 days. The data to be recorded was highly technical. 3 For our purposes it’s enough to note that the government sought to collect (1) connections between the master router’s and the unit’s IP addresses on the one hand, and external IP addresses on the other; and (2) the time that the connec- tions occurred. That is, the information from the pen regis- ters would help the government determine whether and when Soybel tried to access KeepStock. At the same time, the government’s application specified that the pen registers would not record the content of any communications between IP addresses, an express limitation

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