On Wednesday, U.S. District Judge Michael J. Davis granted her motion for a new trial, while also imploring Congress to change copyright laws to prevent excessive awards in similar cases.
At issue was whether the record companies had to prove anyone else actually downloaded their copyrighted songs, as Thomas' lawyer argued, or whether it was enough to argue, as the industry did, that a defendant simply made copyrighted music available for copying.
Relying on a 1993 appeals court decision, Davis concluded in his 44-page ruling Wednesday that the law requires that actual distribution be shown. In his jury instructions, he had said it didn't.
Because he ordered a new trial, he didn't directly rule on Thomas' request that he void the $222,000 damage award as excessive. But he called on Congress to change the federal Copyright Act to address liability and damages in similar peer-to-peer file-sharing network cases.
Davis wrote that he didn't discount the industry's claim that illegal downloading has hurt the recording business, but called the award "wholly disproportionate" to the plaintiff's damages.
The judge said Thomas, of Brainerd, allegedly infringed on the copyrights of 24 songs, which he said was the equivalent of around three CDs that would cost less than $54. He said the total award was more than 4,000 times the cost of three CDs.
"The Court does not condone Thomas' actions, but it would be a farce to say that a single mother's acts of using Kazaa are the equivalent, for example, to the acts of global financial firms illegally infringing on copyrights in order to profit in the securities market," he wrote, referring to another case he cited.
Davis suggested that damages that are more than 100 times the costs of the works would serve as a "sufficient deterrent" to illegal downloading. He also stressed that Thomas had sought no profits from her alleged illegal activities.
"Unfortunately, by using Kazaa, Thomas acted like countless other Internet users," he wrote. "Her alleged acts were illegal, but common. Her status as a consumer who was not seeking to harm her competitors or make a profit does not excuse her behavior. But it does make the award of hundreds of thousands of dollars in damages unprecedented and oppressive."
Thomas and her attorney, Brian Toder, did not immediately return phone calls seeking comment. A spokesman for the Recording Industry Association of America, Jonathan Lamy, said the group was reviewing Davis' order Wednesday evening and was preparing a statement.