The Supreme Court ruled unanimously in favor of Cox Communications Wednesday, dismissing a copyright lawsuit brought by major record labels including Sony, Warner, and Universal Music Group. The case centered on accusations that Cox failed to adequately address illegal music downloads by its customers.
The court determined Cox is not liable for copyright violations committed by its subscribers, reversing previous jury and lower court decisions. Justices stated Cox did not encourage infringement nor offer a service specifically designed for it.
The lawsuit alleged Cox did not do enough to deter or disconnect customers sharing copyrighted music. The record labels had sought over $1 billion in damages, but the 4th U.S. Circuit Court of Appeals had already reduced that amount. Cox Communications serves over 6 million customers and warned a ruling against them could lead to widespread service disruptions.
The court’s decision echoes a 1984 case involving Sony’s Betamax technology, highlighting the ongoing debate regarding the responsibility of internet service providers for user activity.