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IFPI Comments on LimeWire Ruling

IFPI announced that it welcomed the ruling by a US Federal Court against the well-known file-sharing service LimeWire.

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Unedited press release follows:

US ruling against Limewire sends clear message internationally

13th May 2010 – IFPI today welcomed the ruling by a US Federal Court against the well-known file-sharing service Limewire.

IFPI chairman and CEO John Kennedy said: “Limewire has been a major hurdle in the music industry’s efforts to make the transition to a new, legitimate online music business. This ruling will be hugely valuable both as an educational message and as a legal precedent internationally. It shows the stark reality of a site which made a fortune by violating the rights of artists and creators.

“The judgment also ends years of uncertainty among consumers, many of whom have felt free to use Limewire in the incorrect belief that it was a legitimate music site. Now it has been made clear to them that Limewire is not legal, does not respect artists and creators, has profited handsomely from its illegality and is not OK to use.”

* On 12th May 2010 a US Federal Court delivered a ruling against the file-sharing service Limewire.

* The Court granted the US record companies’ motion for summary judgment against Limewire, holding Limewire responsible for inducing copyright infringement.

* The Court accepted a statistical study which found that 93% of the files available through Limewire are copyright protected (or highly likely to be copyright protected) and found that Limewire had intentionally encouraged direct infringements by Limewire users.

* The Court found that from 2004 to 2006 Limewire’s annual revenue grew from nearly US$6 million to an estimated US$20 million. The judge found this growth depended greatly on Limewire users’ ability to commit infringement through Limewire.