A U.S. federal court has cleared the way for Kazaa file-sharing software owner Sharman Networks to sue the entertainment industry for copyright infringement, Sharman said on Friday.

Sharman, targeted by studios and record companies because its software is used to trade music and video files, has sought to turn the tables on the industry, accusing it of misusing Kazaa software to invade users' privacy and send corrupt files and threatening messages.

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