Overview
- The Court held that an ISP’s knowledge of subscriber piracy is not enough for contributory liability, which now requires proof of inducement or a service built for infringement.
- A 7–2 majority opinion by Justice Clarence Thomas reversed the Fourth Circuit’s knowledge-based theory of liability.
- Justice Sonia Sotomayor, joined by Justice Ketanji Brown Jackson, agreed with the outcome but said other common‑law theories like aiding and abetting should remain available.
- Applying the test, the Court found Cox neither encouraged infringement nor offered internet access designed for piracy, which the jury had earlier penalized with a large damages award.
- The ruling lowers exposure for ISPs and other service providers with broad lawful uses and may weaken the DMCA safe harbor’s push for repeat‑infringer policies, steering rights holders toward vicarious claims, direct suits, and takedown notices.