Illegal Downloads Don't Equal Lost Sales, Judge Rules

HOLLYWOOD, Calif. — A federal judge has decided that one illegal download doesn’t correspond to one lost sale.

In the criminal copyright case U.S. vs. Dove, U.S. District Judge James P. Jones ruled that when seeking restitution for files downloaded through peer-to-peer software, companies couldn’t argue that one illegally downloaded song cost them exactly one legally sold song.

This case involves the music and mainstream movie industries, but Jones’ decision has the potential to affect all industries that traffic in digital downloads, including adult. The defendant in the case, Daniel Dove, had originally been found guilty of criminal copyright infringement. Dove got busted for running a peer-to-peer network called Elite Torrents. At his original conviction, Jones sentenced Dove to 18 months in prison and a $20,000 fine ($10,000 for each of his counts of copyright infringement).

But the plantiff companies wanted more. The RIAA and Liongate Entertainment asked the judge to penalize Dove for each of the individual files trafficked on his site. All told, if Jones had agreed with the RIAA and Lionsgate, Dove would have owed them more than $22 million.

In the opinion, Jones wrote that to equate each illegal download with one lost sale is a faulty assumption.

"Those who download movies and music for free would not necessarily purchase those movies and music at the full purchase price," he wrote. "[A]lthough it is true that someone who copies a digital version of a sound recording has little incentive to purchase the recording through legitimate means, it does not necessarily follow that the downloader would have made a legitimate purchase if the recording had not been available for free."

Related:  

Copyright © 2025 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

FSC Summit Event Schedule Announced

Free Speech Coalition (FSC) has revealed its slate of networking events and symposiums for its annual summit, set for January 15 during XBIZ 2026.

Pornhub Releases 2025 'Year in Review' Report

Pornhub has released its “Year in Review Insights” report for 2025, the 12th edition of the site’s annual statistics, data analysis, and infographic initiative.

Washington AV Bill Jumps on 'Health Warning' Bandwagon

A new age verification bill in the Washington state legislature would require adult sites to post notices warning users of alleged health risks, despite a previous federal court ruling against such requirements.

BranditScan Launches '25 Days of Christmas' Promo

BranditScan has launched its 25 Days of Christmas promotion.

MelRose Michaels Named Host of Online Industry Edition of XBIZ Honors

Performer and entrepreneur MelRose Michaels will MC the online edition of the 2026 XBIZ Honors, set for Wednesday, Jan. 14, at the Kimpton Everly Hotel in Hollywood.

Irish Regulator: EU States to Ramp Up AV Enforcement for Smaller Sites

A representative of Irish media regulator Coimisiún na Meán told legislators that Ireland and other EU states are preparing to expand enforcement of age verification regulations to include smaller adult sites, British newspaper The Times is reporting.

Sansyl Group Acquires Blue Donkey Media

Sansyl Group, parent company of AdultPrime Network, has acquired Blue Donkey Media B.V., owner of Dutch adult site Meiden van Holland, among several other erotic websites and television channels.

Pineapple Support to Hold Mental Health Summit

The annual Pineapple Support Mental Health Summit is taking place Dec. 15-17.

Ofcom Fines AVS Group $1.3 Million for AV Noncompliance

U.K. media regulator Ofcom on Wednesday imposed a penalty of one million pounds, or approximately $1.3 million, on AVS Group Ltd. after an investigation concluded that the company had failed to implement robust age checks on 18 adult websites.

Updated: Aylo to Help Test EU Age Verification App

Pornhub parent company Aylo plans to participate in the European Commission’s pilot program for its “white label” age verification app, a spokesperson for the company has confirmed.

Show More