London - Irish Internet service provider Eircom has agreed to institute a "graduated response," or "three-strikes" policy on repeat file-swappers, as part of the settlement of a lawsuit where the ISP was accused of facilitating copyright infringement, The Register reported.

Subscribers will now have their connections terminated after a third warning indicating they are engaging in copyright infringement; evidence and IP addresses will be supplied by the record labels.

Eircom rejected the major record labels' demand that it install software that could detect copyrighted files sent over its network, arguing that it could breach customers' privacy.

The labels alleged that Eircom promoted illicit file-sharing by advertising on The Pirate Bay, and claiming in ads that its service enabled the downloading of 5,000 songs per month.

Related Links:
http://tinyurl.com/djk3pk (The Register)