In a sign of the continuing hard line taken by Japanese rights-holders toward file-sharing sites, local authors’ society JASRAC has won a lawsuit against Tokyo-based company Just Online, which runs video-sharing site TVbreak.

The Tokyo District Court has ordered Just Online to stop distributing video files, including JASRAC-managed works, and to pay some 90million yen ($1 million) in damages to JASRAC (Japanese Society for Rights of Authors, Composers and Publishers) for copyright infringement.

JASRAC filed suit against Just Online in August 2008, seeking a cease-and-desist order and damages of 120 million yen ($1.4 million).

“Many video-sharing site operators are voluntarily deleting illegally uploaded files or distributing video files after obtaining permission from copyright holders,” JASRAC said in a statement. “Just Online, however, has failed to take such measures, and is thus leaving illegal video files unattended and running the site in an irresponsible way. As a result, many illegal video files have been uploaded to the TVbreak site.”

JASRAC says the court’s decision clearly shows that companies that run video-sharing sites must take responsibility for using copyrighted works on their sites.

The society says there are about 60 video-sharing sites in Japan, 25 of which have concluded contracts with JASRAC on the use of JASRAC-managed copyrighted works. Most of the other site operators are trying not to use JASRAC-managed works by voluntarily deleting illegal files and through other measures.

Just Online is reportedly studying how to respond to the ruling.