Friday, January 19, 2007

XMSR: U.S. Federal Court Denies Motion To Dismiss Copyright Suit

This lawsuit pertains to recording features on the XM Helix, Nexus and Inno portable units. The RIAA did not WIN the lawsuit, rather, XM lost the motion to DISMISS.

Sirius has an agreement in place with the RIAA regarding their portable units, the Stiletto (100 and 10) and the S50, giving Sirius further advantage in the retail space.

US Judge Denies XM Satellite Bid To Dismiss Rights Suit
10:46 AM EST January 19, 2007, By Chad Bray Of DOW JONES NEWSWIRES NEW YORK

A federal judge in Manhattan denied a bid Friday by XM Satellite Radio Holdings Inc. (XMSR) to have a copyright lawsuit by the major recording companies over its digital download subscription service thrown out. In an order issued Friday, U.S. District Judge Deborah A. Batts denied a motion by XM to have the lawsuit dismissed. The major record labels, including Atlantic Recording Corp., Capitol Records Inc., Sony BMG Music Entertainment and Warner Bros. Records Inc., sued XM last year, alleging XM's digital download service distributes their copyrighted works without their authority. The complaint claims XM is violating their licensing agreement to broadcast copyrighted songs because it allows customers with special receivers that include MP3 players to record audio files broadcast on XM, rather than just to hear live broadcasts.

XM issued this statement: "At this stage of the proceeding, the court's ruling is required to be based on the false characterizations set forth in the plaintiffs' complaint. The real facts strongly support our view that the lawsuit is barred by the Audio Home Recording Act. We look forward to making our case in court."

1/19/2007 10:59:00 AM

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