Slashdot Mirror


Megaupload Host Wants Out

angry tapir writes "Carpathia Hosting, a U.S. company hosting the frozen data of millions of users of the file-sharing site Megaupload, has gone to court to argue it should not keep the files if it is not being paid. The company has filed an emergency motion in the U.S. Federal Court in the state of Virginia seeking protection from the expense of hosting the data of up to 66 million users. 'While Carpathia has never had access to the data on Megaupload servers and has had no mechanism for returning that data to Megaupload users, we have been attempting over many weeks to resolve this matter to the satisfaction of all parties involved, in a manner that would allow for Megaupload users to be in a position to ultimately recover their data,' Brian Winter, the company's chief marketing officer says."

164 comments

  1. 5th Amendment by Compaqt · · Score: 5, Insightful

    "No person shall ... be deprived of life, liberty, or property, without due process of law ..."
    constitution.org

    Seems like a dead letter these days. Encryption keys, laptop seizures, cloud seizures, warrantless email searches, GPS tagging, etc.

    --
    I'm not a lawyer, but I play one on the Internet. Blog
    1. Re:5th Amendment by TFAFalcon · · Score: 5, Funny

      It's still being followed. Due process of the law now means being accused.

    2. Re:5th Amendment by JosKarith · · Score: 5, Interesting

      Freezing someone's assets to "Prevent their flight" disrupts all their business, legitimate or not...? Who knew that was going to happen?
      Hell, I'm still confused as to how a German living in New Zealand gets arrested on the orders of the FBI...

      --
      'Don't worry' said the trees when they saw the axe coming, 'The handle is one of us.'
    3. Re:5th Amendment by FairAndHateful · · Score: 1

      "No person shall ... be deprived of life, liberty, or property, without due process of law ..." constitution.org

      Seems like a dead letter these days.

      Well, it definitely counts as property if they're not being allowed to use it. (Yeah yeah, IANAL, gotta say it.)

      Is it just me, or is it that if someone doesn't like what you're doing, they don't care if the charges stick so long as they get to hurt you financially? In a lot of cases it's legal fees, but sometimes it just seems that they see any form of financial pain as enough. That seems like punishment without a conviction, and that bothers me.

      I'd imagine that any legal case being pursued against Megaupload would be preserved by spinning the data off onto a boxload of tape and letting Carpathia get back to business. Am I missing something, or is there someone that thinks that they need to hurt Carpathia regardless of what happens?

      yes I know I'm ignoring the pain being caused to Megaupload and its (arguably former) users.

    4. Re:5th Amendment by Anonymous Coward · · Score: 2, Insightful

      Carpathia Hosting is unable to re-purpose these servers, they are also being deprived of their property without due process. They should be allowed to delete the data.

    5. Re:5th Amendment by petsounds · · Score: 3, Insightful

      Funny how people say that digital goods should not be counted as a specific piece of property until suddenly their personal interests are at stake. [I'm not targeting you personally; I don't know what your take on digital goods is.]

      Either files are real property, or they are not. If they are, then they must be so consistently whether it is your file on a server that you have been denied access to, or whether it is someone downloading a 'copyright-infringed' mp3 from a torrent site. If not, then the files uploaded to sharing servers are just copies; not the original item, and in that case people should've made a backup copy in a digital space that they control.

      Either way, it seems like our legal definition of property is way behind the technical state of the art.

    6. Re:5th Amendment by Anonymous Coward · · Score: 0

      Why is that confusing? The servers are in the US, he committed his crimes there.

      Let's not cry for Kim Dotcom, the guy is a huge pile of shit. If that fat slob was smart enough to not use a US host, this wouldn't have happened.

    7. Re:5th Amendment by TheInternetGuy · · Score: 3, Funny

      Freezing someone's assets to "Prevent their flight"

      Never mind the 5:th amendment, I thought freezing peoples asses to prevent their flight was against the Geneva convention or something or another.

      --
      If my comment didn't sound as good in your head as it did in mine, then I guess we all know who's to blame
    8. Re:5th Amendment by gomiam · · Score: 2
      You are equating different things: a paper copy of a novel is a piece of physical property. The novel itself isn't a piece of physical property, as demonstrated by the fact that it can be copied (on physical media as paper for example).

      Files, as pieces of magnetized ferrite on a disk, are physical things and you can complain about their not being available, because you lost your copy of those files when you lost access to that magnetized ferrite.

      Besides, copyright advocates don't complain about their intellectual property "disappearing" (at least usually): they complain about there being too many "unauthorized" copies of it laying about.

      To summarise: you are saying physical and virtual items are the same when they aren't and saynig not having access to some data with having "too many copies" of it around is the same when it isn't. <sarcasm>Will you try showing that black and white are the same too?</sarcasm>

    9. Re:5th Amendment by TheInternetGuy · · Score: 4, Funny
      Oh, you said assets

      didn't you? Well carry on then.

      --
      If my comment didn't sound as good in your head as it did in mine, then I guess we all know who's to blame
    10. Re:5th Amendment by msobkow · · Score: 3, Insightful

      If your data is your life, you should have been doing backups to other locations, not just posting it to a server some where.

      No sympathy here for anyone who "lost" data due to the takedown. Were I in the hosting provider's shoes, my response would be along the lines of:

      A failure to plan on your part does not constitute an emergency on my part.

      It's an old saying in the IT world, but a sanity-saver when dealing with incompetent users and departments who always put off their requirements to the last minute and who rarely have the budget to PAY for those requirements.

      --
      I do not fail; I succeed at finding out what does not work.
    11. Re:5th Amendment by PopeRatzo · · Score: 5, Insightful

      A failure to plan on your part does not constitute an emergency on my part.

      What would you say if you got a call from your banker tomorrow saying they lost all your money, but...

      "A failure to plan on your part does not constitute an emergency on my part."

      Hell, you should have saved some money elsewhere and kept your money somewhere that didn't have a vice president who was going to Vegas every weekend, and by the way, you never complained when you were getting 0.5% higher interest rates than other banks offered.

      If your money is your life, you should be more careful with it.

      If it's such a high war on crime priority for the FBI to take down this goofy criminal mastermind, who they seem to believe is some James Bond supervillian, then they ought to pay this host site to preserve their evidence for them. And, they ought to allow the users of Megaupload access to their files until they are each proven to be stolen or infringing. And to anyone who actually paid Megaupload to share their files: have you never heard of a torrent?

      --
      You are welcome on my lawn.
    12. Re:5th Amendment by msobkow · · Score: 1

      I'd say that's what the FDIC and Canadian equivalent are for.

      --
      I do not fail; I succeed at finding out what does not work.
    13. Re:5th Amendment by realsilly · · Score: 1

      Article. XIV.
      [Proposed 1866; Allegedly ratified 1868. See Fourteenth Amendment Law Library for argument it was not ratified.]

      Section. 1. All persons born or naturalized in the United States, and subject to the jurisdiction thereof, are citizens of the United States and of the State wherein they reside. No State shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States; nor shall any State deprive any person of life, liberty, or property, without due process of law; nor deny to any person within its jurisdiction the equal protection of the laws.

      This is the verbiage of the 14th Amendment, which is speaking about Naturalized citizens.

      You might have a better argument if you state your quotes factually.

      --
      Life takes interesting turns, but the most interest is when you're off the beaten path.
    14. Re:5th Amendment by sjwt · · Score: 3, Insightful

      Carpathia Hosting is unable to re-purpose these servers, they are also being deprived of their property without due process. They should be allowed to delete the data.

      Or perhaps as part of the due process, the government should be reimbursing the companies it can and dose cripple with such moves.

      --
      You have 5 Moderator Points!
      Which Helpless Linux zealot/MS basher do you want to mod down today?
    15. Re:5th Amendment by Anonymous Coward · · Score: 0

      So its property when digital data belongs to people and its not when it belongs to companies or small businesses?

      And they did get their due processes as others pointed out. Just because you don't like the results doesn't mean they didn't get due process. In fact, it sounds like everyone involved bent over backwards to follow process and procedure to ensure due process for all involved.

    16. Re:5th Amendment by msobkow · · Score: 1

      In other words, the FDIC is the backup.

      --
      I do not fail; I succeed at finding out what does not work.
    17. Re:5th Amendment by CastrTroy · · Score: 1

      By that logic though, it would be unconstitutional to hold someone on bail before the trial. Or to even hold someone while awaiting the bail hearing. They are being deprived of their liberty simply by having charges placed against them. Also, "without due process of law" can mean a lot of things. The process of the law is whatever the process of the law is defined to be. That doesn't mean a full jury trial before they are able to deprive you of life, liberty, or property. If the "process of the law" says that they can hold you for 6 weeks a judge can get around to seeing you for a bail hearing, then that's the process. If the process says that, at that bail hearing the judge can opt to freeze your assets, or imprison you, or any number of things, then that is the process. All it really means is that they can't lock you up without following whatever process has been defined, or take your access without following the process. But as long as they follow whichever process is defined in all the other legal documents, they are fine.

      --

      Anthropic principle: We see the universe the way it is because if it were different we would not be here to see it.
    18. Re:5th Amendment by Hatta · · Score: 5, Insightful

      That's not funny, it's true. Since "due process" no longer means "judicial process" what's left?

      --
      Give me Classic Slashdot or give me death!
    19. Re:5th Amendment by Compaqt · · Score: 1

      Wait, what are you talking about?

      Are you saying that I took verbiage from the 14th amendment, and mis-attributed it to the 5th?

      In fact, I took the words from the 5th (excerpted with ellipses).

      If you don't for some reason like constitution.org, check it out on Wikipedia.

      Secondly, the verbiage of the 14th tracks that of the 5th amendment.

      Finally, the 14th refers to the states while (according to some) the 5th refers to the government of the united States, which is what took the action in this case.

      --
      I'm not a lawyer, but I play one on the Internet. Blog
    20. Re:5th Amendment by couchslug · · Score: 1

      If a rental property isn't being paid for, the landlord may remove the furniture etc to storage and accrue storage charges. Then, if those aren't paid, it goes to public auction.

      --
      "This post is an artistic work of fiction and falsehood. Only a fool would take anything posted here as fact."
    21. Re:5th Amendment by blueg3 · · Score: 1

      Wait, I can make backups of my money? Please explain.

    22. Re:5th Amendment by AngryDeuce · · Score: 2

      The industry itself doesn't even have a clear-cut idea as to what is property and what isn't as concerns digital media.

      Take the RIAA, for instance, who in the course of a week or so, argued that an MP3 was merely being 'licensed' in order to prevent the sale of 'used' MP3's in their suit against Redigi, and then in another case, argued that MP3's were actually being 'sold' to avoid being liable for the much higher percentage of royalties due the artist for licensing their music as opposed to selling it.

      Obviously a digital file cannot be both owned for purposes of liability and licensed for purposes of use, so the courts need to get on top of this ASAP.

    23. Re:5th Amendment by nashv · · Score: 0

      Incorrect. The Geneva conventionS (there is more than 1), consider these to be a breach of the conventions:
              willful killing, torture or inhumane treatment, including biological experiments
              willfully causing great suffering or serious injury to body or health
              compelling someone to serve in the forces of a hostile power
              willfully depriving someone of the right to a fair trial if accused of a war crime.

      Also considered grave breaches of the Fourth Geneva Convention are the following:

              taking of hostages
              extensive destruction and appropriation of property not justified by military necessity and carried out unlawfully and wantonly
              unlawful deportation, transfer, or confinement.

      So no. Freezing of assets is a perfectly humane way of dealing with a flight risk.

      --
      Entia non sunt multiplicanda praeter necessitatem.
    24. Re:5th Amendment by VGPowerlord · · Score: 1

      Carpathia Hosting is unable to re-purpose these servers, they are also being deprived of their property without due process. They should be allowed to delete the data.

      I'm surprised that the FBI doesn't just seize the servers to prevent tampering with evidence in an upcoming lawsuit.

      --
      GLaDOS for President 2016! "Well here we are again. It's always such a pleasure." -- GLaDOS, 2011
    25. Re:5th Amendment by Weatherlawyer · · Score: 2

      You are equating different things: a paper copy of a novel is a piece of physical property. The novel itself isn't a piece of physical property, as demonstrated by the fact that it can be copied (on physical media as paper for example).

      Files, as pieces of magnetized ferrite on a disk, are physical things and you can complain about their not being available, because you lost your copy of those files when you lost access to that magnetized ferrite.

      Besides, copyright advocates don't complain about their intellectual property "disappearing" (at least usually): they complain about there being too many "unauthorized" copies of it laying about.

      To summarise: you are saying physical and virtual items are the same when they aren't and saynig not having access to some data with having "too many copies" of it around is the same when it isn't. <sarcasm>Will you try showing that black and white are the same too?</sarcasm>

      So are you saying the copies are not copies if they are digital copies? Why is there a problem with Megaupload in that case? And if you are wrong, what law will allow them to be copied if the owner of the file is the copyright holder? But in any case, how many people are likely to pursue this sort of thing?

    26. Re:5th Amendment by nashv · · Score: 2

      Why is it confusing ?

      You can file a complaint against any an individual in the police force of any nation, and the police force of that nation has the right to make arrests if that individual is on their soil.

      In the case of Megaupload, a US Federal Prosecutor filed that said complaint in New Zealand, providing evidence of international crimes. The FBI then filed for extradition of the accused in New Zealand. There was a court hearing in New Zealand, which approved the extradition.

      Just because the newspapers report in colloquial language and say "upon the FBI's request" , it doesn't mean due procedure is not followed. Of course, the gist of it is still that he was arrested due to a request by the US authorities.

      --
      Entia non sunt multiplicanda praeter necessitatem.
    27. Re:5th Amendment by History's+Coming+To · · Score: 1

      If there is reasonable suspicion that they aided and abetted a crime then property can be seized. I'm still £10 down because I came across a bank note smeared in red dye, so I handed it in to the police. They caught a bank robber because of it. No reward, no return of my tenner ("stolen goods"), no reimbursement, it's just the way it works. Not particularly fair though.

      The sensible thing in this case would be to have a court appointed computer forensics person come in and take an image of the server, lock it away somewhere, then they have all the admissible evidence they need and the servers can be re-purposed.

      --
      Please consider this account deleted, I just can't be bothered with the spam anymore.
    28. Re:5th Amendment by demachina · · Score: 1

      It should be noted New Zealand seized pretty much all of his personal assets when he was arressted which, even they, now admit was way over the line.

      The guy is a complete skank, a con man, and probably deserves what he gets but he does also deserve a trail before being presumed guilty and having all his assets seized, and presumably transferred to the bank account of the New Zealand government

      --
      @de_machina
    29. Re:5th Amendment by Weatherlawyer · · Score: 1

      What would you say if you got a call from your banker tomorrow saying they lost all your moneyt...

      "A failure to plan on your part does not constitute an emergency on my part."[?].

      If it's such a high war on crime priority for the FBI to take down this criminal they ought to pay his host site to preserve their evidence for them. And, they ought to allow the users of Megaupload access to their files until they are each proven to be stolen or infringing.

      I'd say we are still waiting for the call from all the investment bankers in the whole world. I would have thought that if the FBI had copied the files they could be returned if and when.

    30. Re:5th Amendment by owenferguson · · Score: 1

      www.coinflation.com is empirical evidence of a minute doubling bug in the architecture of american finance. Many people ( http://realcent.forumco.com/ ) simply mine the coin market instead of mining for bit coins.

    31. Re:5th Amendment by Anonymous Coward · · Score: 0

      Not saying it doesn't happen, but does the constitution apply to someone who isn't a citizen and hasn't been in the U.S.?

    32. Re:5th Amendment by nemui-chan · · Score: 1

      What would you say if you got a call from your banker tomorrow saying they lost all your money, but...

      "A failure to plan on your part does not constitute an emergency on my part."

      The difference between Megaupload and a Banker is that I can't copy my money and then use those copies elsewhere for little to no cost.

    33. Re:5th Amendment by mcgrew · · Score: 1

      Whether or not files are "property", the computer the files reside on certainly is. Searching your computer is no different than searching your physical file cabnet.

    34. Re:5th Amendment by elashish14 · · Score: 1

      That would be fraud and/or negligence. The bank sold you their trust and you put the money in. How they handle it is a part of the agreement whenever you open a bank account. IANAL

      So what obligation does Carpathia have to host the files? I'm pretty sure they don't have a similar agreement with the people that asked them to host the files...

      --
      I have left slashdot and am now on Soylent News. FUCK YOU DICE.
    35. Re:5th Amendment by cpu6502 · · Score: 2

      >>>Is it just me, or is it that if someone doesn't like what you're doing, they don't care if the charges stick so long as they get to hurt you financially?

      This is the preferred method used in Russia. Accuse an anti-government or anti-Putin website of copyright infringement (unlicensed software), grab all the computers, and then shut them down for a year. At the end of the year they say, "Oh you're not guilty" and return the equipment but it's too late by then. It's interesting to see the U.S. is now using the Russian method.

      --
      My AC stalker: " I personally agree with your posts most of the time, but that won't keep me from modding you troll"
    36. Re:5th Amendment by Anonymous Coward · · Score: 0

      Apparently that means that anyone who uses cloud storage and expects to be able to access their data in the future is a sucker. I do happen to think that people who rely on cloud storage are suckers for just this reason, but it shouldn't have to be this way.

    37. Re:5th Amendment by Anonymous Coward · · Score: 0

      Haha!

      The CDIC (Canadian equivalent) is doomed. Once upon a time when there was a whole bunch of smaller banks, if one of them failed they CDIC could step in. Now if any of Canada's big 5 fail, the CDIC has nowhere even remotely near the amount of assets necessary to fix the situation. It would be very, very bad,

    38. Re:5th Amendment by Luckyo · · Score: 1

      I'm pretty sure that freezing ASSES counts as "willfully causing great suffering or serious injury to body or health". /reading comprehension

    39. Re:5th Amendment by Mister+Whirly · · Score: 1

      But the question is do you really trust this complete skank of a con man not to withdraw all his assets and go on the run? If I was in his shoes that is certainly what I would try to do. Freezing his assets guarantees he will get his day in court.

      Presuming that the New Zealand government has outright stolen his assets is an awfully big assumption, and one I would wager you are incorrect on. His assets are still in their respective accounts - access to those accounts is what has been affected.

      --
      "But this one goes to 11!"
    40. Re:5th Amendment by Anonymous Coward · · Score: 0

      fdic insures to 10k-100k or some such ridiculous figure, that is if i lost 2-5 million tomorrow i would get back 100k, .... nice ....

    41. Re:5th Amendment by sjames · · Score: 1

      Except he didn't get the hearing he was entitled to prior to the seizure, so it is unlawful.

    42. Re:5th Amendment by sjames · · Score: 1

      Or paid for holding it.

    43. Re:5th Amendment by sjames · · Score: 1

      The problem with their approach is that next time you'll know better than to turn it in.

    44. Re:5th Amendment by ILongForDarkness · · Score: 2

      Well there is some case for that. Stuff has always been taken as evidence until the trial is over at least, and probably kept permanently if you are found guilty (not sure if a convicted murderer gets their knife back after they serve their time, but I suspect not). This is the flip side of cloud services: since you don't own the thing it isn't just the use of property you are denied, you might actually have bills to pay for stuff you don't want because the gov' doesn't allow you to delete/'cancel service until the trials are done. I suppose the subpoena should go to the hoster and then what? A subpoena from a US company to a foreign company may or may not be obeyed. If it was me I'd just say: What data? It was deleted yesterday as soon as we heard you were trying to arrest someone that isn't a citizen of your hell hole.

    45. Re:5th Amendment by ILongForDarkness · · Score: 3, Insightful

      No. I think a bigger concern is that the assets being frozen aren't his. It is like there being a murder in an apartment building and the police come and put up their tape. Fine. But the CSI's have had plenty of time and have done all they can do with the scene. But the government just expects the landlord to keep the apartment the way it was, including all the utilities on and the plants watered by the gardener until the trial is done. The cost is being paid by someone that isn't the defendant. They should copy the data and then let the guy delete it. If they don't want to copy it because it is a ridiculously large amount of data than that is their problem.

    46. Re:5th Amendment by ILongForDarkness · · Score: 1

      I have hardly any assets, it hurts when I sit.

    47. Re:5th Amendment by sjames · · Score: 1

      Carpathia has no such obligation. However, when law enforcement did their thing, they created an obligation for themselves. THEY need to either pay Carpathia to retain the data or make other arrangements to get it back to the people who uploaded it and let Carpathia wash their hands of it.

    48. Re:5th Amendment by Aryden · · Score: 1

      It's like insurance in Eve-Online....

    49. Re:5th Amendment by jedidiah · · Score: 1

      Except this situation isn't really anything like that. This is less like a single crime scene than it is an entire city block or perhaps an entire neighborhood.

      It's more like the owner of an industrial park whining that they can't dispose of a factory that's been shut down and the associated litigation is still pending.

      --
      A Pirate and a Puritan look the same on a balance sheet.
    50. Re:5th Amendment by ae1294 · · Score: 1

      In other words, the FDIC is the backup.

      Only up to 100,000...

    51. Re:5th Amendment by jedidiah · · Score: 2

      Whether or not I trust him is irrelevant.

      Whether or not I like him is irrelevant.

      There are just certain rules we don't break. This idea predates the republic. It's not a new idea that was invented with the ACLU.

      --
      A Pirate and a Puritan look the same on a balance sheet.
    52. Re:5th Amendment by jedidiah · · Score: 1

      People love to conflate personal papers and creative works.

      This is an unfortunate side effect of trying to treat every scrap of paper as some sort of masterpiece and copyrighting it by default.

      "Intellectual Property" is published creative works.

      --
      A Pirate and a Puritan look the same on a balance sheet.
    53. Re:5th Amendment by Anonymous Coward · · Score: 0

      Well, if you have a Bitcoin Wallet, then YES! Yes, you CAN make backups of your money!. And no bankster can ever steal it from you. If your BTC wallet.dat file is lost on a failed hard drive, you may restore it from a backup (provided you DO back up your disks regularly, which everyone should do).

      I store mine on a cloud service (Ubuntu One), so it is always available to me, regardless of where I am or what computer I'm using (Windows or Linux). And of course, it is encrypted, so even if some crook manages to copy the file elsewhere, he or she would never be able to use it without having access to my key and passphrase.

    54. Re:5th Amendment by Mister+Whirly · · Score: 1

      So we should just release all high-flight risks after their arrest and simply hope they show up for their court dates? How about if you catch them at the airport trying to fly to a country without extradition treaties? Do you still give him the benefit of the doubt when they say "I will still show up in court."? I am all for due process, but when there is a decent chance due process won't take place becasue the accused fled the country, what other options are there? If you have a better idea how to guarantee folks will show up for their day in court, I am all ears.

      --
      "But this one goes to 11!"
    55. Re:5th Amendment by Anonymous Coward · · Score: 0

      Actually up to $250,000 according to the FDIC. They raised it a few years ago

      The standard deposit insurance amount is $250,000 per depositor, per insured bank, for each account ownership category.

    56. Re:5th Amendment by Anonymous Coward · · Score: 0

      I'm still £10 down because I came across a bank note smeared in red dye, so I handed it in to the police.

      You're the idiot who accepted it, I suppose. And you have a civil claim against whoever still owes you ten pounds.

    57. Re:5th Amendment by gomiam · · Score: 1

      Their being digital doesn't matter. The physical copy is subject to physical constraints of scarcity (for example, it can be removed from its owner's possession), the virtual item isn't. Seeing them both subject to physical scarcity is illogical (unfortunately, law can be illogical at times).

    58. Re:5th Amendment by Anonymous Coward · · Score: 0

      Holy crap you just blew my mind.

      I'm converting liquidating all my banks accounts and converting it Bitcurrent now.
      Which i will check in to git daily.

    59. Re:5th Amendment by Anonymous Coward · · Score: 0

      Simple really:

      MAFIAA: "Hey Feds, roll over and present arse"
      Feds: "Hey NZ, roll over and present arse"
      NZ: "yessir!"

    60. Re:5th Amendment by TheInternetGuy · · Score: 1

      Yes it sometimes hurts when assets take a dump.

      Oh, you said sit didn't you?
      Well, carry on then.

      --
      If my comment didn't sound as good in your head as it did in mine, then I guess we all know who's to blame
    61. Re:5th Amendment by eldorel · · Score: 1

      Putting an accused in lockup is completely different from seizing all assets and putting him out of business.

      If you arrest someone, the judge gets to decide on the flight risk during arraignment. If the accused is likely to run, then they stay in jail.

    62. Re:5th Amendment by eldorel · · Score: 1

      FDIC insurance is $100k PER ACCOUNT.

      So if you spread your assets out properly, (you know, redundantly) then you're safe and covered.

    63. Re:5th Amendment by Anonymous Coward · · Score: 0

      Because the PM of NZ is a boot-licking toady-boy who keeps sucking up to the U.S in the hope of a free trade agreement.

    64. Re:5th Amendment by _0xd0ad · · Score: 1

      You're wrong. FDIC insurance is per person, not per account.

      https://www.fdic.gov/edie/fdic_info.html#11a

      All single accounts established by, or for the benefit of, the same person are added together. The total is insured up to a maximum of $250,000, including principal and interest.

      Spreading your assets will help you out if a bank fails. If you have less than $250k in each bank, your account with the bank that failed will be insured by the FDIC. Spreading your assets will not help you out if all of the banks fail. You will be insured for up to $250k, unless you diversify the types of accounts. This can help you, because (for example) if you have $250k in a single-owner account, you can put another $250k into a Roth and both accounts will be covered. Similarly, if you are married then your joint account with your spouse would be covered up to $250k per co-owner, i.e. $500k in total:

      You may qualify for more than $250,000 in coverage at one insured bank or savings association if you own deposit accounts in different ownership categories. The most common account ownership categories for individual and family deposits are single accounts, joint accounts, revocable trust accounts, and certain retirement accounts.

    65. Re:5th Amendment by _0xd0ad · · Score: 1

      Never mind, looks like I was the one who's wrong. In my defense, if they meant "all single accounts at the same bank", they should have said "all single accounts at the same bank". This one is clearer:

      http://www.fdic.gov/deposit/deposits/dis/

      All deposits that an accountholder has in the same ownership category at the same bank are added together and insured up to the standard insurance amount.

  2. Why not force taxpayers to pay for it...? by mykos · · Score: 4, Funny

    ...just like we have to pay for any other copyright enforcement actions?

    1. Re:Why not force taxpayers to pay for it...? by Anonymous Coward · · Score: 0

      Just what I was thinking. When a regular citizen gets a copy by these means,, is either theft our copyright infringement. Now they are holding and possibly copying the information, and somehow it's suddenly legal (I'm assuming some people actually hosted files for which the authorities don't have the copyright for)

    2. Re:Why not force taxpayers to pay for it...? by Anonymous Coward · · Score: 0

      I heard the NSA built a data center at Oak Ridge just for this purpose.

  3. Holdng data hostage by Anonymous Coward · · Score: 0

    It's ironic that a HOSTing company would be going to such lengths to keep data HOSTage. I guess it's another way to make money off of people's fear of being caught red-handed with stolen files.

    Illegal filesharing? Is it good or is it whack?

    1. Re:Holdng data hostage by Anonymous Coward · · Score: 5, Insightful

      It's like this:

      Company A pays Company B for hosting
      Company B buys/rents servers, rackspace, power, bandwidth to provide the service

      Government C shuts down Company A
      Company A no longer pays Company B
      Company B still has it's bills to pay.

      Therefore, either:
      Company B removes it's service, and re-uses the equipment, rackspace etc for a new paying customer
      or
      Company B loses money running a service that costs money but it gets nothing for
      or
      Government C re-imburses Company B for the cost
      or
      Government C uses a legal instrument to require Company B to retain the data

    2. Re:Holdng data hostage by Anonymous Coward · · Score: 0

      Why isn't Government C named Government A? What were the other two governments doing when the third one started messing about?

    3. Re:Holdng data hostage by Anonymous+Cowpat · · Score: 1

      or, company B sues Government D because its seizure of the assets of Company A in a manner which has turned out not to be according to law has resulted in Company A being unable to fulfil its obligations to Company B, causing company B financial loss.

      --
      FGD 135
  4. Shutdown E V E R Y T H I N G! by AGMW · · Score: 4, Insightful

    It totally stinks that the high percentage of legitimate Megaupload customers are getting screwed 'cos of the US bully-boy tactics. What about shutting down the US Postal Service because of all the illegal activity that enables? People do bad things with telephones too. Hey, don't people use cars as getaway cars ... let's shut down Ford and GM while we're at it!

    --
    Eclectic beats from Leeds, UK
    handmadehands.co.uk
    1. Re:Shutdown E V E R Y T H I N G! by Rosco+P.+Coltrane · · Score: 2, Funny

      let's shut down Ford and GM while we're at it

      Don't worry, Detroit execs are already busy mismanaging them out of existence themselves anyway.

      --
      "A door is what a dog is perpetually on the wrong side of" - Ogden Nash
    2. Re:Shutdown E V E R Y T H I N G! by sjwt · · Score: 3, Funny

      "Don't worry, Detroit execs are already busy mismanaging themselves into another bailout anyway."

      TFTFY

      --
      You have 5 Moderator Points!
      Which Helpless Linux zealot/MS basher do you want to mod down today?
    3. Re:Shutdown E V E R Y T H I N G! by rtb61 · · Score: 5, Insightful

      The best alternative would have been to appoint a legal guardian, to ensure the legal elements of the business can continue whilst the court case is carried out. What has happened flies in the face of one of the most important elements of justice, innocent until proven guilty. Elements of the US government have completely abandoned this principle from torturing suspects (guilty upon accusation and subject to punitive physical and psychological abuse, at the hands of mentally disturbed individuals seeking promotions and passing performance measures, all without recourse to the courts and false confessions to end the torture being treated a valid evidence) to confiscation of assets to actively prevent paying for a legal defence.

      A bunch of out of control wankers, with no real appreciation of the law and justice, just their own ego of being judge, jury and execution. A closed chorus, cheering each other on in their legal abuses, gloating over the power they misuse and it all falls apart when it finally goes through the courts, unless of course they can force a confession and guilty plea out of people, via extended psychological torture.

      --
      Chaos - everything, everywhere, everywhen
    4. Re:Shutdown E V E R Y T H I N G! by Anonymous Coward · · Score: 0

      What percentage of post office users are using the USPS for illegal activities ( 90%?).

    5. Re:Shutdown E V E R Y T H I N G! by ScentCone · · Score: 0

      What about shutting down the US Postal Service because of all the illegal activity that enables?

      OK, we get it. You like sites that give you access to ripped-off material. It's a shame you're such a chicken that you won't just come right out and say that's what you're about.

      Regardless, please work on your analogies. You're not doing your agenda any good by trying to compare a postal service that has a long history of criminally prosecuting people who mis-use it with a business set up expressly to profit from aggregious copyright infringement. A business that expressly wooed pirates (and paid them to rip things off, making rather a show of doing so). That you can't grasp the difference between a common carrier that aggressively pursues criminal mis-use and an operation set up and run expressly to encourage and profit from crime is ... never mind. You know the difference, and you're being a disengenuous twit about it.

      Hey, don't people use cars as getaway cars ... let's shut down Ford and GM while we're at it!

      Would you like to point to a GM marketing campaign and reward program aimed at making sure their products are used in bank robberies, and which gets a piece of loot whenever a criminal uses a Chevy? Please, do. Or better yet, please just stop with the completely insincere outrage. It's utterly transparent.

      --
      Don't disappoint your bird dog. Go to the range.
    6. Re:Shutdown E V E R Y T H I N G! by Anonymous Coward · · Score: 0

      You know the difference, and you're being a disengenuous twit about it.

      Or maybe he was just ignorant about it? Before reading about it on Slashdot I had no idea they were actively encouraging piracy by paying uploaders of popular files. Before that, I had no clue what was different about megaupload and any other hosting service like rapidshare or dropbox. However, due to my ignorance on the subject, I decided I wouldn't take sides and start angry arguments about something I did not had the faintest clue about. Sadly that's not how most people think before posting.

    7. Re:Shutdown E V E R Y T H I N G! by Anonymous Coward · · Score: 0

      elements? what elements? It's the entire bloody damn gubbermint and their corporate cronies. You are guilty until proven innocent unless and only unless you're one of our paid congress critters.

    8. Re:Shutdown E V E R Y T H I N G! by Anonymous Coward · · Score: 0

      What percentage of post office users are using the USPS for spam activities (90%?).

    9. Re:Shutdown E V E R Y T H I N G! by couchslug · · Score: 1

      HIgh percentage? Citation needed.

      The major purpose of such sites has always been warez and porn. That's why there are so many links to them passed 'round the net.

      No one here believes otherwise but many pretend it.
       

      --
      "This post is an artistic work of fiction and falsehood. Only a fool would take anything posted here as fact."
    10. Re:Shutdown E V E R Y T H I N G! by helix2301 · · Score: 1

      MegaUpload should just have done what piratebay is going to doing and have mobile command centers.

    11. Re:Shutdown E V E R Y T H I N G! by darkfeline · · Score: 1

      You obviously haven't been paying attention to the state of justice in America. Since awhile ago, we replaced "innocent until proven guilty" with "guilty and then proven guilty".

    12. Re:Shutdown E V E R Y T H I N G! by Anonymous Coward · · Score: 1

      I'm not in any way supporting the government here, but "innocent until proven guilty" does not mean the accused gets to roam free business as usual. A bus line for which I had a ticket for was suddenly shut down the day of my trip due to suspicion of being a front for human trafficking. Sure I was an innocent customer that was unfairly cheated, but it had to be done. We can argue over severity of the crimes, and I do understand the slippery slope of legal action based soley on accusations, but "innocent until proven guilty" doesn't mean what a lot of people here want it to mean.

  5. Send the servers to Gitmo! by Anonymous Coward · · Score: 0

    You know it makes sense!

  6. They just want immunity by rainer_d · · Score: 3, Interesting

    They are afraid that the case against "Kim Dotcom" implodes and he sues (which, given the circumstances is not unlikely). It will be interesting to see the outcome of this. Kim Dotcom certainly has the funds and is willing to fight this to the end.

    --
    Windows 2000 - from the guys who brought us edlin
    1. Re:They just want immunity by lxs · · Score: 1

      I don't know. His assets are frozen. The poor guy is down to a measly $70000 per month for himself his pregnant wife his nursemaid and his butler.
      He is the 99%

    2. Re:They just want immunity by Anonymous Coward · · Score: 0

      I agree the whole seizing thing is outrageous and frightening corporate inside power demonstration, but please, do not turn that crook into a freedom hero.

    3. Re:They just want immunity by rainer_d · · Score: 1
      Yeah, but the freeze may be lifted completely (due to a formal error).

      Personally, I wouldn't invest a cent in any of his ventures - but too often already has the music and motion-picture industry used false allegations to shut down innocents.
      "Innocent until proven guilty" was once worth something (although not in this century, I admit).

      --
      Windows 2000 - from the guys who brought us edlin
  7. Re:Not THEIR data by Anonymous Coward · · Score: 1

    Not a single Megaupload user has come forward and claimed the data in their account is their data.

    Obligatory [citation needed].

    Millions of users and you say not even one has tried?

  8. Re:Not THEIR data by king+neckbeard · · Score: 5, Informative

    How about this article, which lists multiple users making the claim you say doesn't exist by name: http://arstechnica.com/gadgets/news/2012/01/megaupload-wasnt-just-for-pirates-angry-users-out-of-luck-for-now.ars

    Your claim is fucking ridiculous. There are 25 PB of data. It's nearly impossible for there not to be significant amounts of legitimate data on there.

    --
    This is my signature. There are many like it, but this one is mine.
  9. Bill the credit cards by Anonymous Coward · · Score: 3, Interesting

    The megaupload servers will have the details of all the users and their uploaded pirated stuff in their accounts. Just bill their credit cards.

    Seriously, you realize that this is the start of the process not the end, those servers contain massive amounts of copyright infringement logs and a paid account is linked to a credit card and thus to a person. So there will be a mass of investigations to follow from this.

    There's no way a court will let that data be destroyed.

    1. Re:Bill the credit cards by Anonymous Coward · · Score: 0

      The megaupload servers will have the details of all the users and their uploaded pirated stuff in their accounts. Just bill their credit cards.

      I don't think a user would want to pay money for data that cannot be accessed by him. And if that data consists of copyright infringement material then the users who have uploaded those files would more than likely want those files taken down instead of having to pay a hosting company to keep them online.

      It probably would have been more wise for the people who were sharing illegal files, if they would have uploaded the files without logging in with their accounts. Most filesharing hosters used to have the feature of hosting a file without requiring an account. Paying for an account only makes sense if you plan to download a large number of big files as fast as possible, that means that you would be paying for a better download bandwith and the feature of being able to download more files at one time.

      Seriously, you realize that this is the start of the process not the end, those servers contain massive amounts of copyright infringement logs and a paid account is linked to a credit card and thus to a person. So there will be a mass of investigations to follow from this.

      There's no way a court will let that data be destroyed.

      Totatlly agree with that. That is the reason why Carpathia Hosting is being 'forced' to store such a huge amount of data.

    2. Re:Bill the credit cards by cheekyjohnson · · Score: 1

      That sounds like a good use of taxpayer money. We'll get those game copiers! The gains we get from doing so will be immeasurably high!

      --
      Filthy, filthy copyrapists!
    3. Re:Bill the credit cards by Anonymous Coward · · Score: 1

      Paid accounts are not just for downloading. The people who uploaded the most copyright infringing material were receiving cash per download, that is why they would log in. If you don't use your account to upload, you don't get paid.

    4. Re:Bill the credit cards by Anonymous Coward · · Score: 0

      I've read about that, but aren't there any more subtle ways to pull that off? After all it's an illegal activity what they were doing. A normal person who is engaged in illegal activities would try to hide it.

      In that case, if people received the money through the information they used when they signed up, then you first have to find out who was enganged in illegal activities before you can tell who should pay for the hosting costs. With millions of users it will take a lot of time to find them.
      Carpathia Hosting probably cannot wait that long.

    5. Re:Bill the credit cards by Anonymous Coward · · Score: 1

      I think it's worth noting that the payoffs were part of a system where you were rewarded for uploading popular files. EVERY premium user got paid for getting downloads (which were not necessarily copyright infringing files). IANAL but I don't think rewarding people for uploading popular files is illegal in itself. It just turned out that copyright infringing files got a lot of downloads, so pirates were getting quite a sum.

    6. Re:Bill the credit cards by Macthorpe · · Score: 1

      The problem here is that MegaUpload were allegedly fully aware that the highest paid accounts were transferring copyrighted material, as they shared those links with each other. There's nothing illegal about the system itself, but the abuse of the system and the administrators being aware and supporting its abuse certainly is.

      --
      "It does not do to leave a live dragon out of your calculations, if you live near him." - Tolkien
    7. Re:Bill the credit cards by mister_playboy · · Score: 1

      I think it's worth noting that the payoffs were part of a system where you were rewarded for uploading popular files. EVERY premium user got paid for getting downloads (which were not necessarily copyright infringing files). IANAL but I don't think rewarding people for uploading popular files is illegal in itself. It just turned out that copyright infringing files got a lot of downloads, so pirates were getting quite a sum.

      Megaupload was never a popular as a cashhost. People who were interesting in making money did not use MU. Period.

      I'm tired of seeing this BS assertion on /., from people obviously not remotely familiar with filehosters and their usage.

      --
      Do what thou wilt shall be the whole of the Law ::: Love is the law, love under will
    8. Re:Bill the credit cards by Anonymous Coward · · Score: 0

      What BS assertion are you talking about? Nobody is contesting whether or not Megaupload was popular as a cashhost.

  10. Re:Not THEIR data by ynp7 · · Score: 1

    Where were they public facing?

  11. Ask the EFF? by QuasiSteve · · Score: 4, Informative

    The EFF helped set up an effort for U.S. users of MegaUpload to get their data back. They should have some information on how many requests they've gotten.

    http://www.megaretrieval.com/

    "Carpathia Hosting has created the website www.MegaRetrieval.com to help lawful users in the United States work with EFF to investigate their options for retrieving their legitimate, non-infringing files from Megaupload."

  12. a priori by Blackajack · · Score: 2

    Any previous judgements about similar cases where the goods are physical?
    Say, rent lockers or 3rd party warehouses that hold possible contraband/illicitly appropriated/counterfeited materiel in such quantities that it cannot be moved without extraordinary expense?

    1. Re:a priori by ray-auch · · Score: 4, Informative

      It's definitely happened before with physical goods in the UK, not sure about US, probbaly wouldn't be much different. One take on it is here (make sure you read down to the second half):

      http://www.dailymail.co.uk/home/moslive/article-1222777/The-raid-rocked-Met-Why-gun-drugs-op-6-717-safety-deposit-boxes-cost-taxpayer-fortune.html

      Essentially a bunch of innocent people had to spend a lot of money on legal action to get their stuff back. Not all succeeded. Of those that did, mostly we don't know because to get their compensation they had to sign gag orders - can't have people talking about the law f**king up now can we....

      Search warrant stated 90% of use was illegal... later estimates reckon 10% or less.

    2. Re:a priori by Anonymous Coward · · Score: 1

      I don't disbelieve you in this case, but seriously, don't link to the daily mail as a source to back you up. It's about as trustworthy as the guy at the bus stop who tells you that he's an astronaut.

    3. Re:a priori by makomk · · Score: 1

      It looks like the Daily Mail actually did proper journalism there for once. There's some more recent BBC coverage of the same raid though, if that helps.

  13. Lets go through that link by Anonymous Coward · · Score: 0

    I said this: Either: 1) They are not asking for their data, or 2) They had copies, or 3) It was pirated

    So going through your article:
    Reader Mark Ellul tells us "I used my account for online storage and backups" it was backup, so he's a 2).

    "daveIT" in the Ars forums said he paid for the premium service for increased speed, and used it to collaborate with a friend in Alaska on music tracks. He's a 2 or a 3.

    "Another reader tells us in the forums that "I'm an Android phone enthusiast, and Megaupload was one of the best ways to distribute custom ROMs and other Android mods." He's a 2) or a 3).

    "Massimiliano Fanciulli tells Ars "I've used Megaupload for distributing betas of my app Sleepy " He *was* a 2) now a nothing.

    "Professional musician Suzanne Barbieri "e-mailed us to note that she used Megaupload to store and share music in part because most of her projects "are too large for something like YouSendIt.", another 2).

    "One reader admits to having used Megaupload "for both legal and iffy purposes,", he's a 3).

    "Vancouver resident Geoff Luk says he volunteered to take photos and videos at the 2010 Winter Olympics and used Megaupload to store files that were 4GB in size.....Luk says he has everything backed up locally". Another 2).

    So where's the 1) s?

    It's fund to make straw men and break them down, but really access to this data isn't a problem, you just file and the FBI can get it for you.

    1. Re:Lets go through that link by king+neckbeard · · Score: 1
      One, you are assuming that using the service for illegal purposes means you aren't using it for legal purposes, and only 2 of the 2)s had clearly stated they had copies.

      Again, just from the sake of probability, it's batshit insane to claim that out of the 25 PB of data, none of it was both legal and the only extant copy accessible to the uploader.

      It's fund to make straw men and break them down, but really access to this data isn't a problem, you just file and the FBI can get it for you.

      I doubt the FBI would actually comply, and even if they did, I would be wary of contacting the FBI even if I were completely innocent. It's like talking to cops, only much worse.

      --
      This is my signature. There are many like it, but this one is mine.
    2. Re:Lets go through that link by gnasher719 · · Score: 1

      Again, just from the sake of probability, it's batshit insane to claim that out of the 25 PB of data, none of it was both legal and the only extant copy accessible to the uploader.

      When you do any business with any company, there are risks involved. Your storage provider could just go bankrupt. The storage facility could be wiped out by a meteor. The storage provider could be accused of doing something illegal and there might be consequences affecting you. That's your risk. In the case of megaupload.com, the third risk should have looked quite high.

    3. Re:Lets go through that link by king+neckbeard · · Score: 1

      No, it shouldn't have, other than expecting the MPAA/RIAA to be consistently batshit crazy, but that's a risk associated with pretty much the whole internet.

      --
      This is my signature. There are many like it, but this one is mine.
    4. Re:Lets go through that link by JosKarith · · Score: 1

      Your point 2 is fallacious - it's like saying "It's okay I jacked his car, he's got another one"
      Anyone with any sense backs up in multiple locations but you cannot rely on that. Your stance is victim blaming and plays straight into the hands people who are misusing the law to prop up a failing business model.

      --
      'Don't worry' said the trees when they saw the axe coming, 'The handle is one of us.'
    5. Re:Lets go through that link by Anonymous Coward · · Score: 0

      Again, just from the sake of probability, it's batshit insane to claim that out of the 25 PB of data, none of it was both legal and the only extant copy accessible to the uploader.

      When you do any business with any company, there are risks involved. Your storage provider could just go bankrupt. The storage facility could be wiped out by a meteor. The storage provider could be accused of doing something illegal and there might be consequences affecting you. That's your risk. In the case of megaupload.com, the third risk should have looked quite high.

      But the data wasnt destroyed by a meteor or any other insurable incident. It was intentionally taken down by authorities who knew what they were doing.

      It seems to me that legitimate users should have the ability to go after the perpitrators for damages. Regardless of whether or not the content owners took percausions for the unexpected. To say that anything could happen to ones data does not mean that you should expect legal content owners to just go: "hoo hum" when someone with steel boots busts in and smashes all their data servers and other costs they may have already paid for. Changing links and finding new servers and uploading bandwidth costs money.

      I would guess there was millions of legal content owners on the site. I dont know, but I do know that I used megaupload and never engaged in any illegal content exchange. I wonder why a class action lawsuit against the FBI has not already begun. I assume it is because most of these content owners where small local musicians just trying to get their music out and make a little money outside the control of the major record labels. That is what I used it for.

      It is my opinion that the taking of megaupload was all about stomping out sharing. Music sharing. Video sharing. Which has nothing to do with copyright control, but everything to do with bandwidth control. Major distributors want to be sure that all bandwidth for content is funneled through their own channels. Because the reality is that it now costs $0 to distribute. We pay for the ISP bandwidth we use... therefore, we are already paying for the distribution. Distribution companies are accustomed to extracting large sums of money for distribution... back in the day when they used to use trucks to delive CD and DVD cases to stores that would hold the content on shelves until you came in and bought it. It was an expensive undertaking, but now it is gone. Instead of passing this savings on to you the consumer, big business would prefer to just keep the profit going as long as possible and have you believe that it still costs $10 to get 10 tracks of music to you while paying only a tiny portion of this to the artists.

      This episode is about destroying alternate routes of distribution and nothing about copyright protection. It is about how the government is complicit and nobody is doing anything about it.... Yet.

  14. The cloud, where your data turns to vapour by gweihir · · Score: 2

    I think this is actually a good thing, better find out now than later. Together with the recent outages at the Amazon and MS clouds, this shows that the cloud is really a chancy thing to depend on.

    --
    Most ACs are not even worth the keystrokes to insult them. Be generically insulted by this and ignored otherwise.
    1. Re:The cloud, where your data turns to vapour by AmiMoJo · · Score: 1

      Which is why we should try to protect people who use it. A lot of internet communities are built on free beer services, and that is a good thing because they enrich us and otherwise wouldn't exist.

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
  15. Re:Not THEIR data by KonoWatakushi · · Score: 1

    Your claim is fucking ridiculous. There are 25 PB of data. It's nearly impossible for there not to be significant amounts of legitimate data on there.

    Moreover, unless you are using MAFIAA math to calculate "damages", it is absolutely certain that shutting down the site has caused far more damage to legitimate users. It is outrageous that the US government is being used as a tool for private industry at the people's expense, and without any consideration for collateral damage.

    Though, the US government is increasingly engaged in morally outrageous acts these days, so it isn't that surprising.

  16. Meh by drinkypoo · · Score: 3, Insightful

    If I did legitimate banking business with an offshore bank I would still expect my funds to dry up and disappear one day because it's a fucking illegal bank. Yes, there is non-infringing use, but these sites exist on the back of illegal uploads. If it can be shown that they make a significant percentage of their income on obviously illegal transfers then it's hard to see the logic (legally, that is) of permitting them to continue to do business. And it's also hard to see the logic of expecting your files to continue to be available when you're storing them with someone known for their access to files to which people aren't supposed to have access.

    --
    "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
    1. Re:Meh by cbope · · Score: 2, Interesting

      Are you seriously implying that any entity operating "on foreign soil" is by definition doing something illegal?

    2. Re:Meh by Chrisq · · Score: 1

      Are you seriously implying that any entity operating "on foreign soil" is by definition doing something illegal?

      Not only that but Un-American too

    3. Re:Meh by phayes · · Score: 3, Interesting

      By the same yardstick, if the bank holding your mortgage has been used to transfer drug money the USG can seize all it's accounts & kick you out of your home while proceedings are undergoing against the bank officers that were abetting the drug runners?

      No. Hell NO!

      I never used Mega* directly (got some stuff from friends who did though) as I always assumed that something would come along to squash it However, locking the legit users out amounts to illegal seizure in my book.

      --
      Democracy is a sheep and two wolves deciding what to have for lunch. Freedom is a well armed sheep contesting the issue
    4. Re:Meh by misexistentialist · · Score: 1

      it's a fucking illegal...If it can be shown

      Logical.

      expecting your files to continue to be available when you're storing them with someone known for their access to files to which people aren't supposed to have access.

      Logical.

      Both indicate that Megaupload was a great place to store your files if you can assume a just application of law. Of course under a fascist axis of power it does turn out to be a bad idea. Best to store all your important data with the NSA.

    5. Re:Meh by drinkypoo · · Score: 1

      No, because your bank is insured and has to operate by certain laws. Even if they don't, you have plausible deniability because they are required to operate by those laws. The offshore banks are operating without those laws, and therefore you don't have any assurances that they are even supposed to behave themselves.

      --
      "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
    6. Re:Meh by phayes · · Score: 1

      Oh so, you think it's laws that make a difference? Well then, when your bank is held responsible for breaking the laws of another country like say divulging information that says MY information is not to be divulged to people outside the EU, the EU will by your standards be justified in seizing your bank's (& by extension your) assets.

      Mega* says it was behaving by NZ's laws. Either the seizures are illegal or your assets are liable for crimes committed by bank officers in other countries. Other positions are ether hypocritical or that you believe that bullying is justified.

      --
      Democracy is a sheep and two wolves deciding what to have for lunch. Freedom is a well armed sheep contesting the issue
    7. Re:Meh by drinkypoo · · Score: 1

      You have a reading comprehension problem. It's not that I think the laws stop the banks from breaking them, it's that I have recourse if they do. And as has been pointed out elsewhere, the FDIC is my backup.

      --
      "You're right," Fisheye says. "I should have set it on 'whip' or 'chop.'"
    8. Re:Meh by suutar · · Score: 1

      The best part is you don't even have to take special action to get it to them. The hard part is retrieving it later...

    9. Re:Meh by phayes · · Score: 1

      I dont have a reading comprehension problem but you visibly have a problem making your point without falling into contradictions. The financial meltdown has tought those of us that were paying attention that the FDIC will not save you when a bank robosigns your home into foreclosure nor will it save you from a governmental abuse of power.

      --
      Democracy is a sheep and two wolves deciding what to have for lunch. Freedom is a well armed sheep contesting the issue
  17. They should have just reused/returned the servers by Alain+Williams · · Score: 2

    They are going to be told that they must keep the servers - just in case it is needed in some court trial in 2-3 years time, and no they can't claim from law_enforcement/courts/... they must pay for it themselves - tough.

    If they had just wiped the machines because their customer had not paid their bills they would have been given a slap on the wrist, now if they do they will be in breach of a court order.

  18. Nature of computers by Anonymous Coward · · Score: 0

    "you are assuming that using the service for illegal purposes means you aren't using it for legal purposes"

    Change the "legal and iffy" guy to be a 2 or a 3, but he's still not a 1). The reason I doubt his story is because he made a vague anon claim, but you are free to believe it, but he's still not a 1).

    "it's batshit insane to claim that out of the 25 PB of data, none of it was both legal and the only extant copy accessible to the uploader."

    If I upload a file, the action of uploading *copies* the file. So it's not batshit insane, its inherent that a copy is made in the upload. This is backed up by the lack of requests from people to get their one and only copy of data back from Megaupload's server.

    Seriously do you think anyone would upload the one and only copy of some important data to a company that may well have been bankrupt the next day anyway, or had a server crash, or any number of things? You'd be batshit nuts to do that. What if the copy you uploaded was corrupt on the server?

    I think its a bargaining ploy with Carpathia Hosting.

    1. Re:Nature of computers by king+neckbeard · · Score: 3, Insightful
      You missed the part about being the only extant copy. No, there were no instances where MU had the only copy ever. People accidentally delete files. Hard drives crash. Data gets corrupted. Thus, the other copies not on MU could feasibly now be extinct.

      Seriously do you think anyone would upload the one and only copy of some important data to a company that may well have been bankrupt the next day anyway, or had a server crash, or any number of things? You'd be batshit nuts to do that. What if the copy you uploaded was corrupt on the server?

      Yes, you'd have to be an idiot to leave important data in 'the cloud.' However, most people ARE idiots.

      This is backed up by the lack of requests from people to get their one and only copy of data back from Megaupload's server.

      Where are you documenting this lack of requests? There isn't a clear party to ask that can actually do anything, and if there was, there could very well be users who don't know who that party is.

      --
      This is my signature. There are many like it, but this one is mine.
    2. Re:Nature of computers by Anrego · · Score: 1

      Seriously do you think anyone would upload the one and only copy of some important data to a company that may well have been bankrupt the next day anyway, or had a server crash, or any number of things? You'd be batshit nuts to do that. What if the copy you uploaded was corrupt on the server?

      I believe they call that cloud computing ;p

      Ok, couldn't resist. I do totally agree with you. It seems most of the legitimate users centered around moving huge files to other people .. not "getting them off their hard drive".

      The only thing I can see is if people were using it for archives or old data .. but I imagine that makes up a very small percentage.. the same percentage that regularily loses data in harddrive crashes / other failures every day. Given megauploads sketchy reputation, if you were relying on it for archiving important data with no backups you controlled.. I figure you've just learnt a valuable lesson about managing data.

    3. Re:Nature of computers by Anonymous Coward · · Score: 0

      I just wanted to remind you that some "cloud" sites do not allow you to keep a copy of the content.

      For example, youtube offers an online editor. Just upload your raw video clips and then cut and paste them together into something new. Its kinda great, but the finished product is not available for you to download. You can only view it through the youtube cloud.

      Howfully, the men with steel toed boots will not take down youtube, but if they did... massive amounts of content would be entirely destroyed. As the cloud grows up, we can expect more and more that the content it holds will not have backups anywhere.

      Finally, just because a backup is appropriate, available and logical, doesnt mean its OK for an authority to bust in and remove it at any time. If the destruction of data was not justified, the FBI should be entirely accountable for those effected who were using it legally. IMO.

  19. Re:They should have just reused/returned the serve by Ash-Fox · · Score: 2

    They could also just not pay and they aren't the ones wiping it then, if I understood the original article correctly. If they stop paying the hosting fees, the data will no longer be available.

    --
    Change is certain; progress is not obligatory.
  20. Returning data to users by Anonymous Coward · · Score: 0

    Would u like ur copy of Breaking.Wind.2011.bdrip.x264.-DIMENSION.mkv and TBBT.S04E04.Hot.Troll.Derivation.HDrip.xvid.-LOL.avi back?

  21. The gov or copyright holders should pay for it by thetoadwarrior · · Score: 2

    The hosting company has done nothing wrong. They shouldn't be punished to keep all that data going. If the government wants to punish Megaupload, that's fine, but pay the hosting fees, so you don't end up bankrupting an innocent party while you take months if not years to sort this out.

    1. Re:The gov or copyright holders should pay for it by Anrego · · Score: 1

      Generally agree.

      Though I have to say, unless they had their heads in the sand.. they _had_ to know what they were hosting, what was going on, and the possible (even likely) legal repercussions. I generally don't like the precident of service providers having to police their users .. but given the current legal climate, providing service to this kind of site was an obvious risk.

    2. Re:The gov or copyright holders should pay for it by lindoran · · Score: 0

      we need to be very careful in recommending this, it sets a dangerous precedent that could in the near and foreseeable future cause repercussions that end up in the long run screwing the internet. Allowing tax money or even private funds to be used for this could open the floodgates for SOPA advocates to say "hay look what happened here, Here's a large monetary cost to not regulating this ... don't you want to make sure this doesn't happen again?"

  22. That's not the same by Anonymous Coward · · Score: 0

    "It's okay I jacked his car, he's got another one"

    No that's not the same. In you scenario, he has two cars, Car A, Car B, I took Car A, he went from 2 cars to 1 car. In your scenario he lost the cost of one car.

    In the actual thing that happened, he has N copies of the same file and the cost of making N+1 copies is zero. So the difference between N and N+1 is zero. He has lost nothing.

    "hands people who are misusing the law to prop up a failing business model"

    You should really read the indictment:
    http://www.scribd.com/doc/78786408/Mega-Indictment

    1. Re:That's not the same by Anonymous Coward · · Score: 0

      In the actual thing that happened, he has N copies of the same file and the cost of making N+1 copies is zero. So the difference between N and N+1 is zero. He has lost nothing.

      In the actual thing that happened, MegaUpload had N copies of some files and the cost of making N+1 copies is zero. So the difference between N and N+1 is zero. The copyright holders lost nothing.

      Woops, doesn`t work anymore?

    2. Re:That's not the same by Anonymous Coward · · Score: 0

      "the difference between N and N+1 is zero. The copyright holders lost nothing."

      The difference in *costs* between N and N+1 copies is zero. However the loss to a copyright holder loss is a loss of revenue, its of little comfort that they didn't have to also pay for the copy the pirate made.

    3. Re:That's not the same by JosKarith · · Score: 1

      So the *IAA have no case for this closure because they still have N copies of their songs...?

      --
      'Don't worry' said the trees when they saw the axe coming, 'The handle is one of us.'
    4. Re:That's not the same by JosKarith · · Score: 2

      1 pirated song =/= 1 lost sale.

      --
      'Don't worry' said the trees when they saw the axe coming, 'The handle is one of us.'
    5. Re:That's not the same by Anonymous Coward · · Score: 0

      You're an idiot.

      The cost of making N+1 copies when you have N copies is not zero when N=0.

      Any event which destroys a backup is --N. Any event which creates a backup is ++N. Sure, in a perfect world, you'd have an ++N immediately following every --N, but now, the world ain't perfect.

  23. Re:Not THEIR data by dalias · · Score: 1

    Back in the day on IRC, we had a mythical unit of storage called a "pedobyte". It was defined (to vary over time) as the minimum quantity of data such that the probability of containing a certain type of illegal data reached 100%, and was used to ridicule channel members with overly large collections.

  24. Re:They should have just reused/returned the serve by Anonymous Coward · · Score: 0

    They could also just not pay and they aren't the ones wiping it then, if I understood the original article correctly. If they stop paying the hosting fees, the data will no longer be available.

    After RTFA, I am just more confused. Carpathia Hosting is the hosting company, so who are they paying "hosting fees" to? My best guess is they were talking about opportunity costs, they can't sell hosting to paying customers while their capacity is held by the nonpaying Megaupload.

  25. Re:Not THEIR data by betterunixthanunix · · Score: 3, Funny

    Ironically, the DOJ itself uses MegaUpload.

    --
    Palm trees and 8
  26. Re:They should have just reused/returned the serve by TheSpoom · · Score: 1

    More importantly, the FBI wants the data so they can go on the biggest digital fishing expedition ever. I expect they'll go after anyone whose account has versions of files protected by any of the major antipiracy "agencies".

    --
    It's better to vote for what you want and not get it than to vote for what you don't want and get it.
    - E. Debs
  27. Re:Not THEIR data by makomk · · Score: 2

    Not only that, Megaupload links pop up in all sorts of places. For example, I was looking at Linux drivers for various USB TV tuners, and it turns out that one of the ones I was looking at had a vendor-supplied driver for Linux that was helpfully linked on the LinuxTV wiki and apparently only available from Megaupload.

  28. Why should the landlord have to pay the costs of by Joe_Dragon · · Score: 1

    Why should the landlord have to pay the costs of holding stuff waiting for a court case to work though the courts?

  29. Usual beurocratic bullshit by Anonymous Coward · · Score: 0

    Fuck this planet. Everyone mass suicide.

  30. start a new company by Anonymous Coward · · Score: 0

    couldn't they do things the american way. start a new company. have that company buy that part of the current business. that company goes bankrupt in a month. stuff is wiped. old company buys assets back.

  31. Re:Not THEIR data by cant_get_a_good_nick · · Score: 2

    Not a single Megaupload user has come forward and claimed the data in their account is their data.

    Quite a few artists, not affiliated with labels, used Megaupload to distribute their albums. It became the new mixtape.

    Since they were uploaded the artists, and the artists owned copyright, it definitely was their data.

    I've seen discussions of whether this was part (just part, not all) of the motivation for the Megaupload shutdown. Record labels didn't want to lose their control over distribution. This control was one way how they forced musicians to sign bad contracts - there was no other way to get their albums out.

  32. Re:Not THEIR data by Anonymous Coward · · Score: 0

    Oh come off it! For this story to fly, it would have to be:

    1. legitimate data
    2. that wasn't backed up anywhere else
    3. that was stored on a service that didn't guarantee to store the data safely

    Now I know that backups in the "cloud" are pretty expensive if you want to store more than a few gigabytes, but there's a reason for that, and if you trusted Megaupload to keep your files safe you deserve what you got. Every legit cloud storage facility will charge you something like $100 per terabyte per month, and if you're paying less than that, your data is not safe.

  33. something's missing here by Anonymous Coward · · Score: 0

    "Carpathia says it is paying $US9000 ($NZ11,128) a day to host the data"
    It seems to me they shouldn't be hosting the data at this time, they should just be sitting on the backup tapes. So we're talking about the one-time cost of tapes to hold this data, plus some labor to make and label the tapes. Which is something they should be doing anyway. Or is Carpathia saying "We don't do backups" ? That makes no sense. "Hosting" means running machines for someone else, including administering them. That should include backups, unless Carpathia wants a whole bunch of non-employees running around their floor doing their own backups.

  34. Good for them... by hesaigo999ca · · Score: 1

    They get brought to court for offering a free service... and now that they are being slapped with this lawsuit...it is easy to see why they would want to close, as well as also deny any further attempts by the courts to ask them for details about people's files. If i was them, I would not have been so lenient, I would have said, for all free stuff, you have a 2 weeks to download, until it gets purged, and for the paying customers, i would have made a tool that allows them access directly to the files on the servers, and tell them they have 3 months to recover their files..then that is it...

    That is just my 2 cents

    1. Re:Good for them... by Anonymous Coward · · Score: 0

      Carpathia != Megaupload. Carpathia Hosting does not offer a free service. You're an idiot.

  35. Re:Why should the landlord have to pay the costs by Hankavelli · · Score: 1

    That's a nice way of putting it. The Feds should have to impound the data. If they can't come up with the storage space, then maybe they could rent some. Maybe they could get it from Carpathia.

  36. a US company? by ILongForDarkness · · Score: 1

    You're screwed then. If they were in NZ too if I was them I'd have just deleted it. Oh sorry a customer wasn't paying so as per our contract after 60 days their data is deleted. Oh, they were MegaUpload and you were interested in that day .. sorry. Too bad we aren't in the US. But alas that isn't the case they are a US based company and hence, screwed.

  37. It's really very simple: by Tastecicles · · Score: 1

    If the data being held can not be proved to be infringing prior to any charges being laid, then the **AA cartel is liable for damages to the actual owners of the data, ie the Megaupload users, for their not being able to access their own data. If the *AA want to pursue this and meanwhile hold all the data to ransom, then they better fuckin' pony up.

    If this mess is being headed up by Federal prosecutors then it's for the State to pay for storage.

    OK, let's get really pedantic on this: let's have the client accounts and logs of Megaupload and have someone go through the fuckin' lot, put all the infringing stuff in one box and have a lot of John Doe cases and give the rest of the data back to MU with a big fat fuckin' sorry and a reacharound for the legitimate client base, because those people are getting royally FUCKED.

    --
    Operation Guillotine is in effect.
  38. Re:They should have just reused/returned the serve by petermgreen · · Score: 1

    I dunno about carpathia in particular but afaict most hosting providers don't own their own datacenters. So unless they remove the servers and move them to storage (not sure if they would be allowed to do this or not) they will still be paying to rent the datacenter space those servers take up. They may well also be leasing the servers and/or have bought them on credit as well.

    --
    note: i'm known as plugwash most places but i screwd up registering that here somehow in the past and now can't register