MP3.com Sues Recording Industry Assn.
Just over two weeks after it was sued for copyright violation by the Recording Industry Association of America (RIAA), MP3.com has countersued the association - and Hilary Rosen, its president - alleging unfair business practices.
On January 21, the RIAA took legal action against MP3.com, alleging that the online music firm had violated copyrights by releasing new software that allows users to send online music files to any PC users.
At the same time, the association's lawsuit alleged that MP3.com had also illegally compiled an online library of 40,000 copyrighted albums.
MP3.com's counter lawsuit, which was filed on February 7 in the San Diego Superior Court, alleges unfair business practices.
In a press statement, Michael Robertson, MP3.com's chairman, said that the company has faced increasingly aggressive tactics from the RIAA.
"We have recently learned that Hilary Rosen was speaking to equity analysts about the RIAA's New York lawsuit three days before it was filed. While she was doing this, her lawyers were at MP3.com learning about our My.MP3.com technology," he said.
Robertson said the next day he met with Rosen in Washington to engage in an open discussion about business models for bridging the RIAA's and MP3.com's respective interests.
"Little did I know that she was more concerned about talking to equity analysts about our stock price," he said, adding that MP3.com can no longer tolerate the bullying tactics of the not-for-profit trade association. "After we get to the bottom of all of their actions toward MP3.com, we will vigorously pursue all of our legal remedies."
MP3.com's Web site is at http://www.mp3.com.
Reported by Newsbytes.com, http://www.newsbytes.com.