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On Dec. 10, the U.S. Supreme Court agreed to hear the case between the music and movie industries, and the peer-to-peer (P2P) file-sharing software-developers Grokster and Streamcast. The grant of certiorari for Metro-Goldwyn-Mayer Studios Inc. v. Grokster Ltd., 380 F. 3d 1154 (9th Cir. 2004), means that the High Court will review the court of appeal's decision, which held that Grokster and the developers of the P2P file sharing software available from Grokster (and others) could not be liable for copyright infringement as “contributory” or “vicarious” infringers.
Critical questions for the Supreme Court are likely to be the amount of non-infringing activity required for a contributory or vicarious infringer to escape liability for use of its product, and perhaps the intent of the defendant in developing and marketing its product.
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