Supreme Court rules against file-swapping

The U.S. Supreme Court ruled in favor of studios and record labels Monday in the closely watched case on file-swapping. In a unanimous decision, justices said that peer to peer software companies should be liable for the copyright infringement of people using their products.

"We hold that one who distributes a device with the object of promoting its use to infringe copyright, as shown by clear expression or other affirmative steps taken to foster infringement, is liable for the resulting acts of infringement," wrote Justice David Souter in the majority opinion.