Io Group had filed a lawsuit against Veoh after some of it’s pornographic content appeared on Veoh from a user who uploaded the content.  First Io Group used the DMCA notice method, notifying Veoh asking them to take content down, but it decided to sue Veoh anyway.

The judge noted

“Veoh preselects the software parameters for the process from a range of default values set by the third party software… But Veoh does not itself actively participate or supervise the uploading of files. Nor does it preview or select the files before the upload is completed.”
“Instead, video files are uploaded through an automated process which is initiated entirely at the volition of Veoh’s users.”

Google was quite happy about this they said “It is great to see the Court confirm that the DMCA protects services..”

The lawsuit has confirmed that DMCA law does holdup in court and content that was not monitored by the user is covered under DMCA. This is probably a great relief for the ongoing YouTube battles…