MP3tunes Founder is off the Hook, but the Battle for the Cloud Continues

Posted 10/12/2008 at 10:10am | by Justin Kerr

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It’s hard to read a music industry headline these days without finding the words “lawyer” and “lawsuit” somewhere in the body. This time however, the legal cannon of EMI was pointed not just at MP3tunes.com but also its founder Michael Robertson who is likely sleeping much easier this week.  A federal judge has dismissed the lawsuit against Robertson, but is still allowing the case against his company to continue. Suing the CEO of a company is considered a fairly dirty tactic within the industry but is often an effective means to help intimidate leaders into a settlement. The lawsuit continuing through the courts goes right to the root of MP3tunes current business model which allows customers to upload their music to “digital lockers”. Customers are then able to access their collection on nearly any web enabled device. According to Robertson the case against MP3tunes is unique. Specifically, “it will determine if it is permissible for consumers to store their music in online commercial services for everywhere access, directly analogous to the way they currently store documents, photos, and other personal data in cloud services." The verdict on this case could set an interesting precedent when it comes to storing your copyrighted data in the cloud. Fair use is an evolving definition which is too important to be left to stakeholders to decide. The question here is will the legal system allow common sense and the greater public good to prevail?

Let us know what you think.