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I just had to explain this to someone last night. Some websites are set up to let you stream an watch the latest movie in a Youtube type format. This is still illegal. You may not be saving the file but you are still downloading it an watching it. The movie companys cant go after the website cause they are off shore in countrys that dont comply with US copyright laws. Antarctica is one of the places I have heard is used. But the copyright holder can track users an charge them.
That's true! I know of one site that was based in China. They claim they're legal through some kind of loophole in the U.S. copyright and free use laws. They might be, but I'm not 100% sure. From what I've heard, they will go after the site that hosts the content, first. But, legally, they can go after anyone who accessed the content on that site even if they don't download it. Doesn't mean that they'll go that far (I haven't heard of any case where they did so), but they have the right to do so. In the case of this site, they're more likely to close down their U.S. server and make it so that people can't view content on that server.
By the way, just an FYI, the statute of limitations on copyright infringement is 3 years from the time it was discovered or should have been discovered with reasonable diligence. Some courts go by the actual date of infringement, some do not. It's 5 years for criminal infringement.