AllofMP3, already facing intense pressure from US trade negotiators and international credit card processors, is now the target of a US federal lawsuit. The major music labels filed suit Wednesday against AllofMP3 parent company Mediaservices, Inc. in a New York court.
A copy of the lawsuit seen by Ars Technica claims that AllofMP3’s business “amounts to nothing more than a massive infringement of Plaintiffs’ exclusive rights under the Copyright Act and New York law.” The complaint also notes that “not surprisingly, that business model has proven to be a roaring success.”
The record companies contend that they have the exclusive right to distribute their own copyrighted works and that, in any case, they are not being paid by AllofMP3. “For example,” says the filing, “AllofMP3 offers for sale virtually every Led Zeppelin album, none of which is available through any legitimate service.”
AllofMP3 has long contended that they pay royalties to Russian music licensing society ROMS and that no US artist or record label has ever approached the society about collecting the money. RIAA companies are reticent to do this because it would look like they were legitimizing the activities of ROMS and AllofMP3.
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