A California appeals court has upheld a ruling that says user-generated video site Veoh is entitled to safe harbor from monetary damages in a copyright infringement case brought by Universal Music Group.
Judge Raymond Fisher said in a decision filed Tuesday that Universal could not put the burden of finding and deleting copyright-infringing material on Veoh.
The website's actions to take down infringing material once it was notified protected it under the Digital Millennium Copyright Act, the court said.
"This is a great result for conscientious operators of (user-generated content) sites like us ... who strictly follow DMCA rules to protect content holders," said Jon Goldman, chief executive of Qlipso Media Networks Ltd., a social media startup that bought Veoh last year.
Universal, a unit of Vivendi SA, sued Veoh in 2007, saying that it was not doing enough to stop users from uploading videos containing the work of its artists.
The court did not award lawyers' fees to Veoh, but said it might be able to recoup some other costs after it offered to settle the case three years ago for $100,000, but Universal refused.
A Universal spokesman did not respond immediately to a request for comment.