CD resale case appeal to be heard Monday

Universal On Monday, an appellate court in Seattle will hear arguments in a long-running court battle that focuses on the right to re-sell CDs.

In 2007, Universal Music Group sued Troy Augusto, a Los Angeles music journalist (and former Variety contributor), after he attempted to auction 26 of the company’s promotional CDs on eBay. Labels have long maintained that promo CDs are their property in perpetuity, are “loaned” and hence may not be re-sold. A federal court decided in Augusto’s favor in 2008, but UMG appealed. leading to Monday’s hearing.

The Electronic Frontier Foundation, a San Francisco-based consumer rights organization that focuses on e-commerce issues, is providing counsel for Augusto in the case; its attorney will argue that the so-called “first sale doctrine” — used an an argument in long-ago litigation involving video rentals — allows those who purchase goods to dispose of them as they see fit. Their alert about the case can be seen here.

Want to read more articles like this one? SUBSCRIBE TO VARIETY TODAY.
Post A Comment 0

Marketplace

    Leave a Reply

    No Comments

    Comments are moderated. They may be edited for clarity and reprinting in whole or in part in Variety publications.

    Fill in your details below or click an icon to log in:

    WordPress.com Logo

    You are commenting using your WordPress.com account. Log Out / Change )

    Twitter picture

    You are commenting using your Twitter account. Log Out / Change )

    Facebook photo

    You are commenting using your Facebook account. Log Out / Change )

    Google+ photo

    You are commenting using your Google+ account. Log Out / Change )

    Connecting to %s

    More Music News from Variety

    Loading