The NET Act only applies for COMMERCIAL copyright violations... if you make money SOLELY on the distribution of copyrighted materials...
You've got it wrong. the point of the law WAS to criminalise copyright infringement even if there was no financial gain.
QUOTE said:
On December 16, 1997, President Clinton signed HR 2265 -- the 'No Electronic Theft' Act -- into law. The act, sponsored by Representative Goodlatte (R-Virginia), was passed in the House on 11/4/97 and in the Senate on 11/13/97.
HR 2265 was viewed as "closing a loophole" in the criminal law. Under the old statutory scheme, people who intentionally distributed copied software over the Internet did not face criminal penalties if they did not profit from their actions.
http://www.gseis.ucla.edu/iclp/hr2265.html
QUOTE said:
"In December 1997, Congress passed the No Electronic Theft ("NET") Act, making it a criminal offense to distribute or to reproduce copies of copyrighted works, if not authorized to do so, regardless of whether the distributor was trying to profit from the activity. The legislation was intended to fill a gap in the criminal copyright statute, highlighted in the dismissal of an indictment in United States v. LaMacchia, 871 F. Supp. 535 (D Mass 1994).
http://www.cybertelecom.org/ip/netact.htm
QUOTE
The Net Act was passed to close a loophole in the former criminal copyright law, which required proof of financial gain. This loophole was exposed during the criminal trial against a Massachusetts Institute of Technology student named LaMacchia. Apparently for a lark (and not for payment), LaMacchia transferred computer games that he and others uploaded from one BBS to another, where users of the second BBS could download them. LaMacchia was found innocent of criminal copyright law violations simply because he was not paid for the games.
The Net Act now authorizes criminal prosecutions against anyone who willfully reproduces or distributes copyrighted material by electronic means, regardless of one’s purpose or motive. In other words, uploading a copy of someone else’s software onto the Net so your friends can download it for free may now be a crime.