The free ride appears to be over for Napster, the most loved and hated music-sharing system on the planet. Napster eventually will have to stop allowing copyrighted music to circulate through its system without permission. That's the ruling from the U.S. Circuit Court of Appeals for the 9th Circuit in San Francisco, which on Monday upheld an injunction that a lower court had issued against Napster ordering it to stop its users from trading copyrighted music files.
"The district court did not err; Napster, by its conduct, knowingly encourages and assists the infringement of plaintiffs' copyrights," wrote the three-judge panel in its ruling.
However, Napster will not immediately have to comply with the injunction, which Napster had claimed would effectively put the company out of business.
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