Fraud for trying to stop fraud?

Where I work, we deal with fraud and identity theft quite a bit. It's a scary thing that a lot of people deal with.

Apparently, there's a company out there called life lock, and they're basically a credit monitoring service. They charge around $10, and put what's termed an "initial fraud alert" onto their clients' credit reports. These alerts indicate to the credit bureaus that the person is either already a victim of ID theft, or has reason to believe they are about to become a victim.

Now here's the rub. Experian, one of the credit bureaus, is suing Life Lock for fraud. They feel that the monitoring service is commiting fraud by putting these alerts on accounts that don't necessarily need it, causing more work for their company, and ultimately, costing them more money.

I can see both sides of it. It's an interesting debate.