VANCOUVER — Two dozen Canadian and international music companies have scored a victory against music piracy to the tune of $65 million, with the settlement of a copyright infringement lawsuit originally filed six years ago against BitTorrent file-sharing service isoHunt Web Technologies Inc. and its founder Gary Fung.
By way of a consent order filed in British Columbia Supreme Court, isoHunt and Fung are liable for $55 million in damages and an additional $10 million in punitive damages. isoHunt and Fung further agreed not to be associated with any service that makes the music companies’ recordings available without authorization, including by BitTorrent or any other file-sharing technology.
“Music companies in Canada stand shoulder-to-shoulder in the fight against illegitimate sites that distribute massive volumes of creative works without compensation to creators,” Graham Henderson, president and CEO of Music Canada, said in a news release announcing the lawsuit settlement last week.
“Thousands of Canadian creators, our creative industries, and their employees are directly harmed by these activities,” Henderson said. “This settlement is a step forward towards providing consumers with a marketplace in which legitimate online music services can thrive.”
isoHunt operated out of Vancouver and was one of the largest unauthorized BitTorrent sites in the world until it ceased operations in 2013.
“Courts all over the world have confirmed that websites such as isoHunt infringe rights,” said Frances Moore, CEO of international recording industry promoter IFPI. “Artists, creators and record companies pay a heavy price for that infringement, in lost revenues, lost jobs and lost investment. This settlement sends a strong message that anyone who builds a business by encouraging and enabling copyright infringement faces legal consequences for these actions.”
IFPI estimates 20% of all fixed-line Internet users worldwide regularly access services offering unauthorized music downloading. A recent report by the Digital Citizens Alliance found that one in three piracy sites contain malware, which could result in identity theft, stolen banking information or exposure to hackers, IFPI said.
