Five record companies have lost a case against communications company UPC in a bid to force the internet service provider to stop internet users downloading copyright material.

The record companies were seeking a High Court injunction. But this morning Justice Charleton said in his judgement that the 'legislative response laid down in out country... has made no proper provision for the blocking, diverting or interrupting of internet communications intent on breaching copyright'. UPC is the third largest internet provider in Ireland, with 15% of the market.

Eircom has already reached an agreement with the Irish Recorded Music Association, in which it provides the record companies with the IP (internet protocol) addresses of those who illegally download material.

Eircom operates a 'three strikes and out' rule, whereby someone caught downloading illegal three times will have their internet service cut off for a year if they persist.

Record companies have initiated similar proceedings against O2 and 3 Ireland in a bid to secure a similar agreement.

UPC said it noted the court's decision. It reiterated that it would continue to work with the main interested parties to identify and address the main areas of concern in the file-sharing debate.

'UPC has repeatedly stressed that it does not condone piracy and has always taken a strong stance against illegal activity on its network,' it said.

IRMA chairman Willie Kavanagh said the body was extremely disappointed. He said the High Court today had effectively determined that the State had failed to protect the constitutional rights of copyright holders, by failing to implement EU copyright directives correctly.

Its director general Dick Doyle said IRMA would look to the Government to fully vindicate the constitutional rights of copyright holders. 'We reserve the right to seek compensation for the past and continuing losses from the State,' he added.

Eircom considering position

A spokesperson for Eircom has said the internet service provider will be considering its position in light of today's high court ruling, in relation to the illegal downloading of music.

Eircom has a voluntary agreement to provide record companies with the IP addresses of customers involved in file sharing.

It also operates a 'three strikes and you're out' rule, so if customers are caught illegally sharing files online, more than three times, they will be disconnected for a year.

Meanwhile, Minister for Communications Eamon Ryan intends to invite representatives from the music industry and internet service providers into his Department to formulate an agreed approach, on peer to peer file sharing.

