Web video sharing service Veoh Networks has filed what it calls a pre-emptive lawsuit against Universal Music Group in the hope of blocking any potential copyright infringement claims by the major label.
Veoh, which syndicates video content from Billboard Magazine, wants a federal court in San Diego to indemnify it from any liability UMG may claim if members upload content containing UMG's music to the site, claiming "safe harbor" under existing U.S. copyright law.
Veoh says it does not encourage users to infringe on copyrights and takes appropriate action to remove infringing content.
The company initiated the action after receiving notification last month that UMG was considering suing the company for "massive infringement."
"Universal Music Group is enthusiastic about using technology to build communities, as evidenced by our deal with YouTube. But that's not what Veoh is all about," UMG said in a statement.
"Rather, it's about trying to build a business on the backs of our artists and songwriters without fairly compensating them for the use of their works. It is perpetuating a disservice to the entire creative community. So-called 'innovation' that breaks the law and chooses to violate the rights of content creators is not innovation at all," the company continued.
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