File Swapping Tools Legal
“A federal judge in Los Angeles has handed a stunning court victory to file-swapping services Streamcast Networks and Grokster, dismissing much of the record industry and movie studios’ lawsuit against the two companies.” RIAA to appeal. (CNET Article) KaZaA not in the clear, but the judgment has very interesting implications.
If upheld, the decision could lead artists, record labels and movie studios to cast new legal strategies that they have until now been reluctant to try, including bringing lawsuits against individuals who copy unauthorized works over Napster-like networks. …
The judge’s surprise ruling marked the first validation of an argument that file-swapping supporters have been making since Napster’s first controversial arrival. Peer-to-peer file-trading is a technology that can be used for activities well beyond copyright infringement, and the technology should not be blocked altogether to stop solely its illegal uses, these backers have said.
In making that argument, the judge looked back to the landmark 1984 Supreme Court ruling that upheld the legality of Sony’s Betamax videocassette recorder (VCR). That decision helped establish the doctrine of “substantial noninfringing use,” which protects technology providers that distribute products–like the VCR or photocopier–that can be used for both legal and illegal purposes.
In the Napster case, the Betamax argument failed because the overwhelming majority of activity occurring on Napster was not substantially noninfringing. In this case, Morpheus and Grokster operate in a technically different way from Napster (decentralisation), and that the judge has also taken the future usefulness of this technology into account. Naturally, the parties will keep appealing until it gets to the Supreme Court, but that will take years.
12:56pm (GMT +10.00) tomorrow 
Woof! Power to the people!