Netfilm.cn, one of the largest online film copyright owners in China, has filed a lawsuit against 379 netcafes in Guangzhou and accused them of copyright violations.

Netfilm.cn recently sent a team of 26 lawyers and notaries to investigate the films shown in netcafes in Guangzhou and they found out that up to 40% of more than 500 netcafes were using pirated films.

A representative from Netfilm.cn has told local media that they have brought Wangyiju Netcafe and Zujishou Netcafe, two of the most famous netcafes in Guangzhou, to court and asked each of them to pay CNY100,000 in compensation. The representative says that Guangzhou is their first stop on the rights protection train and they would try to complete the campaign by mid-July when they will start similar actions in other smaller southern Chinese cities.

According to local media, most of the netcafe operators say that they haven't violated any copyright laws since they did not earn money directly from the films.