“Busted”

By Sue Sawyer (Part 2 of 3)

Piracy and bootlegging (non-permission) of karaoke and other musical discs, etc., can only be gone after by the true owner of a copyright or the last licensing owner of their manufactured product. Most of the time the US Courts and officer/deputies of this Court have jurisdiction over these matters. The state courts can play an important role too, but litigation on a state level may end up much more costly.

Major music makers such as Sony and it’s many music/publishing divisions have discovered that karaoke is now “big business” and just last week filed a $30 million lawsuit against companies such as CAVS, ACE Karaoke, Nutech and Three Boys, Ltd. for copyright infringement. Karaoke companies need additional permission for words and possible “lip sync” besides the normal “mechanicals.”

Before Sony bought many of the companies holding song licenses, Famous Music (owned by Viacom) has gone after Stellar Records for about $10 million. About a year ago, there were 118 songsters wanting their rights financially recognized by Stellar and it’s owner, Tom Vivieos. No trial date as yet.

Now, World Music, Warner, KB, Chappell and other large publishing companies have gone after Song Factory, Legends, Music Maestro, ProBurn, Fierotec, Karaoke.com, Master Mixers Entertainment and (Florida karaoke host) James Washington. Again for copyright infringement arising under Copyright Act of 1976, 17USC 101 et seg. 28 USC 1331,1338 and so forth. This one too is in the $30 million or more range. See a pattern here? Lawsuits are going where the money is. Non-holdouts, biggies that were sued in the past have settled, such as Priddis Records, Sound Choice and Chartbusters.

Several years ago one would read about the Feds raiding “garage” manufacturers and copying businesses, seizing computer hard drives, stamping out CD+G’s . Today it’s more sophisticated where hard drives themselves are targeted. Those hosts who buy from pirates can be tracked and their counterfeit discs or downloads could be confiscated. Song owners have gone to e-Bay and other retail sites to stop counterfeits. It has been effective and the few sellers left on the Internet most likely don’t have a clue. Even Microsoft and Adobe Systems were touched because it was them who made it easy to hack through copyright protections and then making the software available over the Internet.

Drinkordie.com is an example of a company shut down having 65 employees making illegal music distributing to over 12 countries from Internet advertising. The big sticks are looking to take whacks at those who download illegally.

Now we move along to MySpace/Gopher for everyone with electricity and an instrument, Snob Torrents which are swapper sites, YouTube for showoffs, Premix Leaks, Virtual Release and for the karaoke songster enthusiast, SingSnap.com. Do we know if their lists of songs are legally licensed? Don’t think we need to know. But, big brother could be watching.

The Feds have gone after file sharing and to the horror of college students asked to pay “damages” of more than $7,000 and a lady who lives from paycheck to paycheck for $222,000 as an example of one of the 7,000 plus share suits to date. Copyright law sets a damage range of $750 to $30,000 per infringement or up to $150,000 if the violation can be proved “willful.” ASCAP sees money to be made and have targeted the bars and restaurants to go after pirates. Ibiza in Seattle was made an example not too long ago.

“If you just stand up in a bar or in public and start singing, you’re not infringing on any copyright laws. However, it comes down to whether you are making money off it or not,” says Dan Venglarik, a Dallas attorney.