The Supreme Court’s recent decision in Cox Communications, Inc. et al v. Sony Music Entertainment et al, 607 U.S. ——- S. Ct. —- 2026 WL 815823, is a win for internet service providers (ISPs) and other technology intermediaries, such as AT&T, Spectrum, and even social media sites such as YouTube, because it limits their liability for copyright infringement by users.
By way of background, the Digital Millennium Copyright Act, or the DMCA, which is the federal law that governs the online copyright, sets forth a “safe harbor” under which ISPs can avoid secondary liability for copyright infringement by their users if they follow certain procedures, including responding to takedown notices and removing repeat offenders. This is why, as you may have noticed, many websites have contact information or forms through which to request the removal of infringing content.
In Cox, music copyright owners including Sony Music Entertainment sued Cox, a leading ISP, for continuing to provide internet service to subscribers who were the subject of numerous DMCA takedown notices, and not terminating their accounts despite allegations of repeat infringement. A jury found Cox liable for contributory and vicarious copyright infringement and awarded the plaintiffs $1 billion in damages.
However, on March 25, 2026, the Supreme Court reversed this decision, holding that an ISP is contributorily liable for copyright infringement by its users only if it intends its services to be used for copyright infringement. It further held that intent can be established one of two ways: (1) if the ISP induced infringement, meaning that it actively encouraged infringement, or (2) if the ISP tailored its services to copyright infringement, meaning that its services serve little or no purpose other than copyright infringement.
In effect, the Cox decision makes it harder for copyright owners to sue ISPs for copyright infringement. However, this does not mean that copyright owners are out of luck, as they may still file DMCA takedown notices or otherwise enforce their copyright directly against infringers, such as through cease-and-desist letters.
For ISPs and online businesses, especially websites hosting user-generated content, this decision provides clearer guidelines for avoiding liability for copyright infringement by users: follow the notice and takedown procedures laid out by the DMCA, and do not foster or encourage copyright infringement.