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IsoHunt, a popular website offering BitTorrents of mostly pirated material, is to shut down following a court settlement.

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The site's owner, Canadian Gary Fung, has agreed to pay $110m (£68m) to the Motion Picture Association of America (MPAA).

MPAA chairman Chris Dodd said the move was a "major step forward" for legitimate commerce online.

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A group of companies, including Disney, Paramount and Twentieth Century Fox, accused the site of wilfully infringing copyright by listing millions of popular movies and TV programmes - in a court battle that has lasted for more than seven years.

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Court documents acknowledged that it is unlikely that Mr Fung's company could pay $110m, and that the MPAA would probably receive between $2m and $4m

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His thoughts echoed findings by a trio of researchers at George Mason University in Virginia, US.

Their site piracydata.org has been collating the weekly top 10 most-pirated films and investigating whether legal digital methods were available.

They found that half of the movies in the list were not available to access legally online. Furthermore, none of the 10 titles could be streamed - arguably the most straightforward way to consume media online.

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The unexpected settlement took many of the site’s users by surprise, and yesterday we reported that a group of “rogue archivists” was working on a full backup to preserve a piece of Internet history. Unfortunately for them, isoHunt’s founder didn’t think that this was a very good idea.

A few hours after the news broke, isoHunt took down the server where the torrents were stored. By early Monday morning the entire site had been replaced with a farewell note to the site’s visitors.

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