Toronto
July 1, 2004

Canada's Supreme Court ruled in a landmark judgement that Internet service providers (ISP) do not have to pay royalties on music downloaded by customers.

In a unanimous 9-0 decision Wednesday, the court ruled that ISPs are not responsible for material web surfers download.

The court ruled that companies that provide access to the worldwide web are "intermediaries" who are not subject to copyright law.

Wednesday's ruling was a blow for the Society of Composers, Authors and Music Publishers of Canada, which wanted the court to rule that ISPs are liable as they are involved in transmitting recorded music.

But the Canadian Cable Television Association, which represents a number of ISPs, applauded the Supreme Court.

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