Grokster, StreamCast Lose. From the post on SCOTUSblog: “In a decision announced by Justice David H. Souter, the Court said: ‘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 by third parties’ – that is, computer users using free downloading software.”
I’m no legal analyst, but it strikes me that the specification that the distributor of the device that may be used for infringing purposes must promote such usage in order to be liable is very important, and will likely precipitate further legal battles before the issue is settled. AFAIK all such distributors caution users against such infringing usage.