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Advanced Copyright Issues on the Internet - Fenwick & West LLP

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These suits presented a potential extensi<strong>on</strong> of <strong>the</strong> legal <strong>the</strong>ories <strong>on</strong> which <strong>the</strong> Napstercase relied in view of technical differences in <strong>the</strong> peer-to-peer architecture used by <strong>the</strong>StreamCast, Kazaa, and Grokster services, as opposed to <strong>the</strong> Napster service. As discussed inSecti<strong>on</strong> III.C.2(c)(1) above, <strong>the</strong> Napster service relied <strong>on</strong> a central index of files available forsharing stored <strong>on</strong> servers maintained and c<strong>on</strong>trolled by Napster. This index enabled Napster toblock allegedly infringing files by searching <strong>the</strong> filenames available through <strong>the</strong> index. Byc<strong>on</strong>trast, <strong>the</strong> StreamCast, Kazaa, and Grokster services did not operate based <strong>on</strong> such a centralindex. Ra<strong>the</strong>r, <strong>the</strong> indexes of files available for sharing were distributed across users’computers.Specifically, according to <strong>the</strong> complaint filed in <strong>the</strong> class acti<strong>on</strong> case, each of <strong>the</strong>StreamCast, Kazaa, and Grokster services initially relied <strong>on</strong> software called FastTrack, originallydeveloped by a group of Scandinavian programmers known as C<strong>on</strong>sumer Empowerment BV,later renamed Kazaa BV. 1379 Kazaa BV launched <strong>the</strong> first of <strong>the</strong> three services (<strong>the</strong> Kazaaservice) <strong>on</strong> July 28, 2000 by publicly releasing its FastTrack software <strong>on</strong> its web site. 1380 TheFastTrack software interacted with Kazaa BV’s server side software to enable Kazaa users toc<strong>on</strong>nect <strong>the</strong>ir computers to <strong>on</strong>e or more central computer servers c<strong>on</strong>trolled and maintained byKazaa BV. 1381 After <strong>the</strong> central server registered, identified, and logged in <strong>the</strong> user, <strong>the</strong> Kazaaservice c<strong>on</strong>nected <strong>the</strong> user to a “SuperNode.” A SuperNode is a computer with a highbandwidthc<strong>on</strong>necti<strong>on</strong> that is operated by ano<strong>the</strong>r user already c<strong>on</strong>nected to <strong>the</strong> service. After auser c<strong>on</strong>nected to a SuperNode, <strong>the</strong>se “local search hubs” compiled an index of digital filesbeing offered by <strong>the</strong> user for downloading by o<strong>the</strong>r service users. The FastTrack software alsoenabled users to search for and import preexisting libraries of music files (such as libraries thatusers built using Napster) to make <strong>the</strong>m available through <strong>the</strong> service. In resp<strong>on</strong>se to a searchrequest, <strong>the</strong> SuperNode reviewed its own index of files and, if necessary, <strong>the</strong> indices maintainedby o<strong>the</strong>r SuperNodes. It <strong>the</strong>n displayed <strong>the</strong> search results to <strong>the</strong> user to permit <strong>the</strong> user todownload any files displayed by <strong>the</strong> search. 1382 Hence <strong>the</strong> index of files available at any point intime were distributed throughout various SuperNode computers maintained by <strong>the</strong> users of <strong>the</strong>network, not Kazaa BV.Any Kazaa service user could become a SuperNode by choosing that opti<strong>on</strong> in <strong>the</strong>FastTrack software, and users were encouraged to do so. Kazaa BV’s central servers maintainedcommunicati<strong>on</strong>s with all SuperNodes and assisted in administering <strong>the</strong> Kazaa service. 1383 Therole of Kazaa BV’s central servers in <strong>the</strong> operati<strong>on</strong> of <strong>the</strong> service was a key basis up<strong>on</strong> which <strong>the</strong>plaintiffs asserted c<strong>on</strong>tributory and vicarious copyright liability. The Kazaa service c<strong>on</strong>tinuouslym<strong>on</strong>itored its thousands of users to keep track of when <strong>the</strong>y logged <strong>on</strong> and off. As so<strong>on</strong> as a userlogged <strong>on</strong>, that user’s music files were inventoried and added to <strong>the</strong> distributed database, and1379 Class Acti<strong>on</strong> Complaint for <str<strong>on</strong>g>Copyright</str<strong>on</strong>g> Infringement, Leiber v. C<strong>on</strong>sumer Empowerment, Civ. No. 01-09923(C.D. Cal. Nov. 19, 2001) 25-26.1380 Id. 27.1381 Id. 31.1382 Id. 32.1383 Id. 33.- 308 -

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