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Business News (more headlines) 12-07-2013

Hotfile Agrees To $80 Million Settlement, Ordered To Stop Further Copyright Infringement

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Judgment comes after Court held Hotfile liable for copyright infringement, helping clear the way for legitimate, innovative online services to take root and thrive

The U.S. D istrict Court for the Southern District of Florida has ordered Hotfile to cease operations unless it employs copyright filtering technologies that prevent infringement of the studios' works.

The judgment, entered today, also awards damages against Hotfile in the amount of $80 million. The entry of the judgment against Hotfile marks the end of the studios' litigation against the cyberlocker and its principal, Anton Titov.

"This judgment by the court is another important step toward protecting an Internet that works for everyone," said Senator Chris Dodd, Chairman and CEO of the Motion Picture Association of America. "Sites like Hotfile that illegally profit off of the creativity and hard work of others do a serious disservice to audiences, who deserve high-quality, legitimate viewing experiences online."

The "digital fingerprinting" copyright filtering ordered by the Court is proven to work and readily available from several commercial technology providers. Major websites and content services have been using the technology for years.

The judgment comes after the Court in August 2013 found Hotfile, one of the world's most trafficked infringing sites, liable for copyright infringement, and rejected Hotfile's "safe-harbor" defense under the Digital Millennium Copyright Act. The Court further held that Titov was personally liable for Hotfile's infringement. This case marked the first time that a U.S. court has ruled on whether so-called cyberlockers like Hotfile can be held liable for their infringing business practices.

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