April 8, 2008 4:00 AM PDT

Courts chip away at Web sites' decade-old legal shield

Posted by Anne Broache | 68 comments 

For more than a decade, Web site operators have enjoyed a broad legal shield against lawsuits filed over material posted by their users, which has let user-driven sites like YouTube and MySpace.com flourish.

But a pair of recent rulings by federal district judges have chipped away at that protective shield. If those decisions are upheld on appeal, and if more judges follow suit, Web site operators and Internet service providers may find themselves compelled to police what their users post--or face the unsettling prospect of being held liable for the contents.

"We fear these cases might inspire a wave of new lawsuits that, even if ultimately dismissed, will create a chilling effect," said Sophia Cope, an attorney for the Center for Democracy and Technology, which has filed briefs supporting broad immunity and gets some financial support from a number of prominent Internet companies. "Many small start-up Web services might find that the costs of defending such suits--in terms of time and legal fees--are too much to bear."

http://www.news.com/8301-10784_3-9911501-7.html?tag=nefd.lede