File sharing applications in peer-to-peer systems suffer from unfairness. Users use more bandwidth for downloading and leave the upload low or even zero there by contributing others to suffer. The authors present Fair Torrent, a new deficit-based distributed algorithm that accurately rewards peers in accordance with their contribution. They can implement Fair Torrent in a Bit Torrent client without modification to the Bit Torrent protocol and evaluate its performance against other widely used Bittorrent clients. Instead of downloading certain files from the nearer peer, it is recommended to download that file from the peer which has more upload than the nearer peer by finding its location.