By Hope Yen
The Associated Press
Friday, December 10, 2004; 1:18 PM
The Supreme Court agreed Friday to consider whether two Internet file-sharing services may be held responsible for their customers' online swapping of copyrighted songs and movies.
Justices will review a lower ruling in favor of Grokster Ltd. and StreamCast Networks Inc., which came as a blow to recording companies and movie studios seeking to stop the illegal distribution of their works.
The file-sharing is "inflicting catastrophic, multibillion dollar harm on petitioners that cannot be redressed through lawsuits against the millions of direct infringers using those services," the appeal by Metro-Goldwyn-Mayer Studios and other entertainment companies says.