yeah, I know, newsgroups are not the scene, but since we have discussions about p2p here, then why not Usenet?
Anyway, I've been thinking lately whether we will have any suits against newsgroups providers in the near future, seeing that Usenet is becoming more and more popular for binary downloads.
First things first, we are talking about third party liability for copyright infringement here. THere are basically two basis for such a liability: vicarious liability, and contributory infringement.
a)vicarious liability: there are two requirements here: direct financial benefit and a right and possibility to control and supervise the infringing activity. There is a financial benefit here without any doubts. What about supervision+control though??? I'm not sure if it's technically possible for the Usenet providers to monitor what their users are downloading, can they theoretically suspend accounts if they detect some infringing activities??? if yes, then they would probably be liable under this theory (that's how Napster was found liable for example)
B)contributory infringement: here we have a requirement of knowledge (which is most likely met, the providers brag about retention, newsgroups coverage, and stuff like that) and material contribution to infringement or inducement to commit infringement. Those requirements are met too, it seems, the providers run servers, etc. It seems that they would be liable under this theory as well.
The one argument that Sony made in the famous case of Universal Pictures vs. Sony was that if a certain hardware or software (the case dealt with VCRs) was capable of substantial non-infringing use, there was no third party liability. The newsgroup providers will probably raise the same argument, after all Usenet is much more than just binary groups. But this argument was unfortunately rejected in the recent Supreme Court decision in Grokster.
I say, we will see some suits against Giganews, Easynews and the others pretty soon. Discuss if you have anything valuable to say.