Canada's music industry can't force Internet service providers to identify online music sharers, a Federal Court judge has ruled.

The music companies represented by the Canadian Recording Industry Association, had identified 29 people who had traded music online using services like Kazaa, but they knew them only by their online nicknames.

They wanted the Internet service companies such as Sympatico, Rogers and Shaw to give them the identities of the individuals, so they could sue them for copyright infringement.

But they didn't get it, so the music companies can't yet proceed with their lawsuits.

Justice Konrad von Finckenstein ruled the music companies had not provided enough evidence that any copyright infringement had occurred and compared downloading and uploading music to using a photocopy machine in a library.

"I cannot see a real difference between a library that places a photocopy machine in a room full of copyrighted material and a computer user that places a personal copy on a shared directory linked to a P2P service,'' von Finckenstein wrote.

"No evidence was presented that the alleged infringers either distributed or authorized the reproduction of sound recordings.

"They merely placed personal copies onto shared directories on their computers which were accessible by other computer users via an online download service."

As a result, using an online download service for personal use does not amount to copyright infringement in Canada, at least for now, CTV's David Akin said.

That is quite different from similar rulings in the United States, where the music industry has sued 1,977 people since last fall. It has reached out-of-court settlements in around 400 cases.

Some lawyers were saying the music industry might have hurt its case through legal sloppiness, Akin said.

"They really didn't have their t's crossed and their i's dotted. They would likely go back and assemble the evidence the judge said was missing. The judge said clearly there are some tests that have to be met, and the record industry failed to meet those tests."

Once they do that, the industry can resubmit its case. Until then, Canadian online music traders are free to keep swapping songs, Akin said.

The CRIA is vowing to carry on the fight. Association lawyer Richard Pfohl says the group will likely appeal the decision.

Peter Bissonnette, president of Shaw Communications, was delighted with the ruling. His company Shaw had argued privacy legislation should protect the identities of its clients.

"We are very, very pleased and I'm sure our customers are as well,'' he said. "We have obligations to protect the privacy of our customers. We've always taken that approach."