Megaupload and the Legal Issues – All Eyes on Kiwi Court – The arrest of founder Kim Dotcom in New Zealand has focused attention upon the New Zealand courts and the US attempts to secure extradition of the ‘locker’ site king.

As other uploader, ‘locker’ sites watch anxiously at efforts to secure a successful prosecution against the former hacker and Megaupload owner, the fact remains that there are entirely legitimate uses for such sites and the likely legal problems for Megaupload are more likely to be any misdeeds on the part of the company’s management rather than the business model used by the company itself.

New Zealand stands in an uncomfortable position as Crown lawyers argue the wrongdoing necessary to create an extradition situation that the US authorities can take advantage of and secure Dotcom back to the States to meet the charges against him.

Meanwhile Dotcom, who has been refused bail in New Zealand but instantly lodged an appeal against the Judge’s ruling, needs to fight the case and prove he is innocent of any wrongdoing. The pressure, therefore, remains with the local courts to ensure there is indeed a serious breach of intellectual property law, or money laundering, to provide Mr Dotcom’s transit to the US court system.

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