Yesterday’s unanimous Supreme Court decision in MGM v. Grokster Ltd. dealt a major blow to peer-to-peer software developers. The court ruled in favor of motion picture giant MGM, that appealed an October 2001 decision by a Los Angeles judge who ruled that file-sharing software programs were legal and movie companies had no legal standing to sue the software makers of file – sharing programs.
The Supreme Court’s decision, however, reversed a lower court’s by finding that peer-to-peer networks can now be held liable for any copyright infringement that occurs while using their programs.
The decision means the case will be thrown back to the lower court where the original ruling was decided. But more importantly, the ruling opens the door for motion picture studios, record companies and artists to freely sue any technology developer, hardware or software, that facilitates, promotes or aids in the infringement of any form of copyright.
In the court’s opinion, given by Justice Souter, MGM gave convincing and substantial evidence that Grokster developed, promoted and marketed their file-sharing software as an alternative to other peer-to-peer programs that had been ruled against in the past for fostering copyright infringement.
The decision also brings the music and movie companies one step closer to the file – sharers themselves.
In recent years file – sharers, most of them high school and college students, have been nearly untouchable. In april, 25 OSU students were among 405 students sued from 18 universities across the country, but with the massive amounts of files being shared, and the number of users sharing them, record and movie companies have been fighting a losing battle.
But this decision could give movie studios and record companies their first shot at suing file – sharers directly.
College students, one of the prominent file – sharing demographics, should be alarmingly aware that while they have shielded themselves before by pleading ignorance and hiding behind companies that distribute file – sharing software, the Supreme Court’s ruling leaves them vulnerable to litigation, huge fines and jail time.
Although plenty of warning has been given to file – shares in the wake of Napster and Kazaa, the showdown between motion picture studios and movie swappers could be quickly approaching.
While it’s unlikely that the court’s decision will immediately curb the music and movie sharing habit, it’s important that students recognize what’s at stake.
Companies who produce and distribute file – sharing software can be held liable for copyright infringement, and as a result, so can their users.
There’s no longer an excuse to hide behind.