Universal Music sues Grouper, Bolt

Cory Bergman October 17th, 2006

First, Universal Music threatened to sue YouTube. Then, Universal teamed up with YouTube. Now, a week later, Universal sues Grouper and Bolt for allowing users to upload and share music videos. The lawsuit asks for as much as $150,000 for each incident of copyright infringement. “The lawsuit is without merit and we expect to prevail,” Josh Felser, co-founder and CEO of Grouper said. “Our website is protected by federal law and we’re vigilant about taking down copyrighted content when we’re properly notified.” This is a key lawsuit to watch, as it challenges the notion of DMCA’s safe harbor clause, which protects online service providers that promptly remove copyrighted content when asked.