BT and TalkTalk denied appeal to Digital Economy Act legal challenge
Internet providers BT and TalkTalk have been denied an appeal to their failed legal challenge against the Digital Economy Act.
The two companies had lost the court battle in April, but had vowed to continue their fight against the controversial act, which threatens file sharers with reduced or no internet usage.
BT and TalkTalk appealed against four of the five grounds of the judicial review, saying that the act is broadly "inconsistent with European law".
They have questioned how the legislation works alongside European Union directives on technical standards, authorisation, e-commerce, as well as privacy and electronic communications.
The act has been delayed in coming into practice until 2012 as it was sent to the EU for approval.
Tony Ballard, digital media specialist at media and entertainment law firm Harbottle & Lewis, said:
“If it really marks the end of the litigation, its significance lies in Ofcom being able now to implement the procedure for discouraging peer-to-peer file sharing under the Digital Economy Act without the cloud of uncertainty as to the validity of the Act hanging over it.
“Opinion in the industry remains divided, however, as to whether the procedure is a good idea or not.”