Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

Internet Law & StrategyLJN NewslettersNewsSections

Why Grokster Stands Where Napster Fell

By Samuel Fineman, Esq.
May 01, 2003

In a landmark decision issued on April 25, 2003, a federal district judge in Los Angeles rejected claims that two leading decentralized, peer-to-peer (P2P) networks were liable for copyright infringement. The court quashed the request of motion picture and recording industry associations, professional songwriters and music publishers to shut down the Grokster and StreamCast Networks, two companies that distribute free, P2P software allegedly used for the exchange of copyrighted music, movies and other digital media over the Internet. MGM Studios, Inc. v. Grokster, Ltd., No. 01-08541, slip op. (C.D. Cal. Apr. 25, 2003).

The music industry plaintiffs argued that Grokster and StreamCast were liable for both contributory and vicarious copyright infringement on the heels of another California federal district court's ruling that found Napster secondarily liable for copyright infringement by end-users of its file sharing software. See, A & M Records v. Napster, 239 F.3d 1004 (9th Cir. 2001). The Grokster court sharply distinguished its facts from those of Napster, holding that Grokster and StreamCast, while operating in a manner “conceptually analogous” to Napster, were significantly different from Napster in their function, and thus were not secondarily liable for their end-users' copyright infringements.

This premium content is locked for Entertainment Law & Finance subscribers only

  • Stay current on the latest information, rulings, regulations, and trends
  • Includes practical, must-have information on copyrights, royalties, AI, and more
  • Tap into expert guidance from top entertainment lawyers and experts

For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473

Read These Next
Law Firms are Reducing Redundant Real Estate by Bringing Support Services Back to the Office Image

A trend analysis of the benefits and challenges of bringing back administrative, word processing and billing services to law offices.

Bankruptcy Sales: Finding a Diamond In the Rough Image

There is no efficient market for the sale of bankruptcy assets. Inefficient markets yield a transactional drag, potentially dampening the ability of debtors and trustees to maximize value for creditors. This article identifies ways in which investors may more easily discover bankruptcy asset sales.

Bit Parts Image

Summary Judgment Denied Defendant in Declaratory Action by Producer of To Kill a Mockingbird Broadway Play Seeking Amateur Theatrical Rights

Risks of “Baseball Arbitration” in Resolving Real Estate Disputes Image

“Baseball arbitration” refers to the process used in Major League Baseball in which if an eligible player's representative and the club ownership cannot reach a compensation agreement through negotiation, each party enters a final submission and during a formal hearing each side — player and management — presents its case and then the designated panel of arbitrators chooses one of the salary bids with no other result being allowed. This method has become increasingly popular even beyond the sport of baseball.

Disconnect Between In-House and Outside Counsel Image

'Disconnect Between In-House and Outside Counsel is a continuation of the discussion of client expectations and the disconnect that often occurs. And although the outside attorneys should be pursuing how inside-counsel actually think, inside counsel should make an effort to impart this information without waiting to be asked.