Universal loses promo CD case

CD

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Used under creative commons

No, it’s not about misplacing the cover for a promotional CD… Universal have been trying to prevent an eBay trader from selling promotional CDs online, citing the reason that promo CDs remain the property of the record company and, therefore, the trader is infringing Universal’s copyright.

The question is, “Who owns promotional CDs?” The record companies say that they do, of course.

The US case against Troy Augusto has been dismissed, with the judge ruling that he has the right to sell the CDs on. The case is being watched by UK lawyers while they decide what should happen with a DJ who has been arrested for selling pre-release CDs on eBay before their official retail release. Again, who owns the pre-release CDs? Is it the DJ, or the record company?

Universal say that they will appeal against the US ruling, so the story ain’t quite over yet!

Thanks to BBC news for reporting on the ruling.

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