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Napster forced to shut down

OUT-LAW News, 27/07/2000

A preliminary injunction was yesterday granted by a San Fransisco court against Napster Inc., the company behind the on-line music sharing service. The injunction, which was sought by the Recording Industry Association of America (RIAA), will force Napster to shut down its web site from midnight on Friday pending the outcome of a full hearing.

The decision was taken by US District Judge Marilyn Hall Patel who said the company was encouraging “wholesale infringing” against music industry copyrights. Referring to the estimate that 70 million people were expected to be using Napster by the end of this year, Judge Patel said: “What lures them is the infringing use.”

The RIAA, which represents the world’s biggest record companies, has been ordered to post a $5 million bond against any financial losses incurred by Napster pending the full trial on the copyright issues involved.

Yesterday’s injunction prohibits Napster from “copying or assisting or enabling or contributing to the copy or duplication of all coyprighted songs and musical compositions of which the plaintiffs hold rights”.

In response to the ruling, Napster’s chief executive officer, Hank Barry, said: “The judge issued an order which basically would have the effect of shutting down Napster... We’ll fight this in a variety of ways, to keep the Napster community going and strong”. Napster is today filing an emergency appeal against the injunction.

Many observers believe that the case will eventually be settled through a compromise between the opposing sides. It has been suggested that a final agreement may involve the RIAA taking control of Napster’s technology and operating it in a more secure environment.

 

 

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