Correct, which is why the whole thing is bogus. They are trying to (illegally I might add) send a message to all these file sharing companies. The RIAA and MPAA have been dumping mass amounts of money into our government in order to bribe them into making new laws. Laws that shouldn't exist because these are civil matters and should be treated as such.
Look how many of these file hosting companies have folded because of this rubbish going on. The fact that the RIAA/MPAA have been allowed to continue to bully everyone with big brother government is completely unacceptable.