NET Act (redirected from LaMacchia Loophole)

(No Electronic Theft Act) U.S. Federal legislation passed in December 1997 that covers illegal distribution of software over the Internet. Anybody uploading copyrighted software to a Web site and posting its availability is liable for prosecution. ISPs are also liable if they have been warned to close down a Web page and do not comply. Penalties include up to 10 years in prison and a $250,000 fine. In August 1999, a 22-year-old university student was the first person convicted under the NET Act of making copyrighted software, music recordings and movies available to the general public. See software piracy and SIIA.