Kazaa In Hot Water

SYDNEY, Australia – Sharman Networks asked a federal court this week to allow only one trial at time involving its file-sharing network Kazaa.

Kazaa is currently a co-defendant along with Grokster and StreamCast in a lawsuit filed on behalf of the U.S. entertainment industry in which the plaintiffs are seeking to overturn an earlier ruling that got the three companies off the hook for copyright infringement liability.

Kazaa has come under a hailstorm of criticism in recent months for claiming that it has no control over the types of content traded over its network. Many companies that blame Kazaa for faciliating copyright infringement contend that in fact Kazaa has exactly the kind of control over its technology that could put a stop to infringement, including the file-sharing of child pornography.

Lawyers for Sharman Networks have asked the judge to rule that evidence obtained during a series of raids last week in Australia is inadmissible in the U.S. court proceedings.

Representatives for Sharman claim that the information collected in the raids was already presented to the courts in the U.S., and is therefore unnecessary.

Sharman Networks is calling into account whether the Federal Court in Sydney had the legal right to allow 12 raids on Sharman's offices in several states throughout Australia, the Associated Press (AP) reports. The raids were conducted by Music Industry Piracy Investigations (MIPI), and according to reports, the homes of Sharman's chief executive officer and its director of technology were searched.

According to the AP, MIPI is a collective effort on behalf of six of the biggest recording companies in Australia that have been pursuing Kazaa for some time over copyright issues.

"The recording industry plaintiffs, through their representative MIPI, have used the legal equivalent of a nuclear bomb to obtain documentation that is already being readily produced by Sharman through the U.S. court system," A representative for Sharman told the AP.

Sharman is claiming that the raids were a 'breach of copyright legal action' and that court proceedings, which at the moment have been postponed until Feb. 20, should be put to a stop until the case in the U.S. is resolved.

According to MIPI, Kazaa has already caused enough damage. "Their time is up," the association said in a statement.

Critics of the court proceedings are claiming that the U.S. is simply trying to expand its case against Kazaa by forcing a trial in Kazaa's own homeland.

The U.S. entertainment industry already lost a landmark case in December 2003 in the Netherlands when a Dutch Supreme Court ruled that Kazaa could not be held liable for content traded over its network.

The Dutch Supreme Court upheld a March 2002 ruling in which an appeals court ruled in favor of Fasttrack, the Amsterdam-based firm that first developed Kazaa and was later acquired by Sharman Networks.

The Dutch court is the highest European body to rule on the issue of P2P liability and rejected the argument that Kazaa facilitated copyright infringement.

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Segpay Parent Company Names David Press to Board

Segpay parent company Toccata Inc. has named payment industry veteran David Press to its board of directors.

Platform Pulse: Inside the Technology and Trends Powering the Direct-to-fan Economy

For a brief, glittering moment, the fan-platform boom felt like a modern-day gold rush. The premise seemed simple: Open an account, post some tantalizing content and watch the subscriptions roll in. OnlyFans became a household name, "selling feet pics" became a cultural punchline and creators poured into the market hoping to claim their share of the action.

FSC Sets Dates, Qualifiers for December Board of Directors Election

The Free Speech Coalition (FSC) has published dates and qualifiers for its upcoming board of directors election.

Aylo Wins Preliminary Injunction Against Utah AV Law's VPN Rule

A federal court on Thursday issued a preliminary injunction preventing the state of Utah from enforcing a legal provision that would make adult websites liable if minors in the state circumvent geolocation efforts in order to bypass age verification.

Ofcom Investigates Pornhub's Device-Based UK Age Checks

U.K. media regulator Ofcom has opened an investigation to determine whether Pornhub parent company Aylo’s use of device-based age verification complies with the U.K.’s Online Safety Act.

'Studio Vanniall' Launches Through PAYSITE

Vanniall's official website StudioVanniall.com has launched through PAYSITE.

France Weighs Ban on Purchase of 'Remote' Sexual Services

The French National Assembly is considering a proposal to criminalize the purchase, and/or facilitation by online platforms, of sexual services performed remotely by streamers and custom content creators.

YourVids Launches Customizable Subscription Feature for Creators

YourVids has rolled out YourFans, a service that allows creators to design customizable subscription tiers, from which they receive 100% of the revenue.

Jennifer White Launches Official Site, Debuts 1st Release

Reigning XMAs Female Performer of the Year Jennifer White has launched her new website, JenniferWhite.com, and announced the upcoming release of the first feature-length title from her new production company.

Adult Game Fest Announces Nominees for Inaugural Awards Show

Organizers of the inaugural Adult Game Fest virtual trade show have announced the nominees for their inaugural awards ceremony, taking place Saturday, Sept. 26, at 5 p.m. (PDT).

Show More