Posted by kdownie @ 12:33pm GMT
Just as we all suspected, the MGM vs. Grokster case has made it all the way to the Supreme Court, in a case that will determine whether file swapping services have a viable business model or are liable for copyright infringement. So far, two federal courts have sided with the file swapping companies, basically upholding the ruling of the 1984 Betamax case. While I agree with the Betamax ruling (basically a "don't ask, don't tell" policy), I don't see a direct parallel to file sharing. More importantly, Justice Anthony Kennedy doesn't seem to, either. Today Kennedy told attorneys for Grokster and Streamcast that "What you are suggesting is unlawful expropriation of property as a kind of start-up capital. From an economic standpoint and legal standpoint, that sounds wrong."

