Last but not least: Kazaa users sue Kazaa
The game is called «Everyone Sues Everyone,» and it could provide enough material for a 250-episode telenovela. But these events are real: The music industry is suing the providers of P2P software and their users, who in turn are suing the industry. Since St. Nicholas Day, there’s been a new twist in this legal merry-go-round. Kazaa users have filed a class-action lawsuit against Kazaa.
The game is called "Everyone sues everyone" and could provide material for a telenovela in 250 episodes. But the events are real: the music industry is suing the providers of P2P software and their users, both of whom are not intimidated and are suing the industry in turn. Since St. Nicholas Day, there has been a new variant in the legal tussle: users of the file-sharing software Kazaa are suing its manufacturer Sharman Networks. A Kazaa user caught swapping unlicensed songs, who had already settled with the music industry in court and paid accordingly, accuses the manufacturer of the file-sharing software of misleading and fraudulent business practices. In the class action, she is demanding damages and penalties from Sharman Networks, as well as payment of the costs of the proceedings. Specifically, the lawsuit accuses Sharman Networks, which is officially based on the South Pacific archipelago of Vanuatu, of falsely advertising free downloads for its P2P client. Users were thus misleadingly led to believe that sharing unlicensed content via the software was legal. The company had always known that the actual purpose of the software was an illegal act and had exploited this to enrich itself. In addition, Kazaa had been configured in such a way by the automatic release of the data folder that every user had to commit legal violations. Neither the users had been sufficiently informed about this configuration nor the possible legal implications. The users were therefore forced to make expensive settlements with the music industry.
If the lawsuit is successful and is also approved as a class action, the Kazaa provider is now threatened with massive trouble from its former users. For lawyer Ray Beckerman, who represents numerous clients against the music industry (RIAA), this comes as no surprise. He expects Kazaa to be increasingly drawn into proceedings between the music industry and private individuals as a third party. This is not surprising, as Kazaa plays the role of the instrument of crime in many of the civil suits brought en masse by the music industry. This means that Kazaa is now being held directly liable by yet another party for copyright infringements committed by users.
A file-sharer sued by the RIAA argues with a different approach: the claims brought against him by the music industry were settled with the settlement reached between Sharman Networks and representatives of the film and music industries. Kazaa had agreed with industry on a payment of over 115 million US dollars. Previously, the U.S. Supreme Court had ruled in the Grokster case that a company that knowingly and purposefully offers means of copyright infringement should also be held liable for infringements committed with them. The settlement between the industry and Kazaa, the argument now goes, thus also covers any claims the industry may have against individuals. Sharman has now also settled with the music publishers.
If the lawsuit is successful and is also approved as a class action, the Kazaa provider is now threatened with massive trouble from its former users. For lawyer Ray Beckerman, who represents numerous clients against the music industry (RIAA), this comes as no surprise. He expects Kazaa to be increasingly drawn into proceedings between the music industry and private individuals as a third party. This is not surprising, as Kazaa plays the role of the instrument of crime in many of the civil suits brought en masse by the music industry. This means that Kazaa is now being held directly liable by yet another party for copyright infringements committed by users.
A file-sharer sued by the RIAA argues with a different approach: the claims brought against him by the music industry were settled with the settlement reached between Sharman Networks and representatives of the film and music industries. Kazaa had agreed with industry on a payment of over 115 million US dollars. Previously, the U.S. Supreme Court had ruled in the Grokster case that a company that knowingly and purposefully offers means of copyright infringement should also be held liable for infringements committed with them. The settlement between the industry and Kazaa, the argument now goes, thus also covers any claims the industry may have against individuals. Sharman has now also settled with the music publishers.
