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Internet chiefs have called for legal clarification following the outcome of a Demon Internet libel case, with one expert warning that the situation could hinder the growth of e-commerce.
Demon, the ISP owned by Thus, last week agreed to pay more than [pounds]230,000 in damages and [pounds]15,000 costs to Dr Laurence Godfrey, who sued the company over defamatory material posted on a newsgroup on one of its servers.
The current wrangling hinges on the precise interpretation of the law and whether ISPs should be classed as 'common carriers' thereby reducing their liability.
Currently, an ISP could be held liable for any material posted on its service,…