Supreme Court Wipes Out Record Labels’ $1 Billion Piracy Judgment Against Cox

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Supreme Court Wipes Out Record Labels’ $1 Billion Piracy Judgment Against Cox

https://torrentfreak.com/supreme-court-wipes-out-record-labels-1-billion-piracy-judgment-against-cox/

Supreme Court Shuts the Door on $1 Billion Piracy Suit Against Cox — And Maybe on ISP Liability Altogether

In a major win for internet providers—and a blow to copyright holders—the U.S. Supreme Court has overturned a $1 billion judgment against Cox Communications, ruling that ISPs can’t be held liable just because they knew subscribers were pirating content.

The case centered on whether Cox could be held contributorily liable for its users’ copyright infringement. The record labels (Sony, Universal, etc.) argued that Cox ignored repeated piracy notices and thus enabled infringement. A jury agreed—and slapped Cox with a staggering $1 billion verdict in 2016.

But today, the Supreme Court reversed that decision 7–2, with Justice Thomas writing for the majority: Knowledge alone isn’t enough. To be liable, an ISP must either actively诱导 infringement or provide a service with no legitimate uses. Cox did neither—internet access, after all, has countless lawful purposes.

Justice Sotomayor concurred in the result—but warned this ruling may eviscerate the DMCA’s “safe harbor” provisions, which require ISPs to terminate repeat infringers. Without liability pressure, she cautioned, “ISPs now have little incentive to take any action.”

What’s next? The case heads back to lower courts, but for now: ISPs can breathe easier. Rights holders? Not so much.