Lead attorney Debra Wong Yang wrote in a statement that the service, "constitutes pervasive and willful copyright infringement to the overwhelming detriment of copyright holders, legitimate online music services and, ultimately, consumers." XM and Sirius also have the RIAA on their backs over ability of listeners to record music from the services.
XM has argued that its listeners are fully entitled to make recordings under the 1992 Home Recording Act. However, the record labels insist that the devices used to make the recordings are "iPod-like" and that the services have become more like music download services like iTunes and so should fall under a different copyright licensing regime.
NMPA President David Israelite said the legal action brought late on Thursday was a last resort after months of discussions between the two. However, XM does not seem too worried about the action. Spokesman Chance Patterson dismissed the suit as "a negotiating tactic to gain an advantage in our ongoing business discussions."
"XM pays royalties to writers and composers who are also compensated by our device manufacturers," he said. "We are confident that the lawsuit is without merit and that we will prevail." The publishers are seeking an injunction to halt the "infringing behavior" and have requested a maximum of $150,000 in damages for each work allegedly infringed by XM.
Source:
News.com
Written by: James Delahunty @ 22 Mar 2007 23:38
