Wednesday, September 5, 2012

New lawsuit adds to Grooveshark's troubles


Just when Grooveshark appeared to be putting its legal troubles behind it, the music service is sued once again by one of the major record labels.


(Credit: Greg Sandoval/CNET)

In a lawsuit filed on Thursday in a Manhattan federal court, recording company EMI accuses Grooveshark of breach of contract and copyright infringement. The gist of EMI's complaint is that after entering into a licensing agreement with the label in September 2009, Grooveshark fell behind in its monthly payments and also failed to provide sales records.


EMI needed the sales data to accurately know what to charge the service. EMI said because of Grooveshark's failure to pay, the label terminated the deal in March. Nonetheless, Grooveshark continued to distribute or allow users to share music, EMI said in its complaint.


A Grooveshark spokeswoman was not available for comment. We'll update as soon as we hear back.


What really separates this case from the oodles of copyright infringement cases brought by the labels against Grooveshark and other digital music services over the years is that Grooveshark was licensed. Not only that, but EMI said in the suit that Grooveshark agreed that should the deal be terminated managers would not to seek protection from the safe harbor provision of the Digital Millennium Copyright Act.


"Grooveshark can't invoke the Safe Harbor," EMI said in its complaint, "because it specifically agree... [Read more]



via CNET http://feedproxy.google.com/~r/cnet/NnTv/~3/WHLUhrIxKBI/


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