Abstract
Peer-to-peer file-sharing systems are a common phenomenon of the digital age with which not only the young generation is familiar. The music industry reported that CD sales had fallen in recent years by a substantial percentage and that revenues were lost. The RIAA (Recording Industry Association of America), representing the major music labels, blames Internet piracy for the trend and initiated several law suits against those pirates , including the producers of file-sharing software. The article examines the latest litigation effort of the RIAA: The Grokster litigation. First, it will introduce the reader to legal aspects of direct and secondary copyright infringement in relation to file sharing software (II. and III.). Further, the article will summarize and discuss the leading cases: MGM v. Grokster (VI.), In re Aimster (VII.) and Sony v. UCS (Universal City Studios) (IV.). Finally, it raises the question whether the Ninth Circuit Grokster opinion will prevail in light of the 1984 Sony Betamax opinion by the Supreme Court and whether the Supreme Court is likely to overrule its Sony precedent (VIII.).
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