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Music Firm 'Goblins' in Copyright War

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It's not every day that record companies are accused of behaving like goblins in a book by JK Rowling.

But that is just one of the more colourful accusations being bandied around in a US legal battle that could have implications for many people's private CD and LP collections.

It all began in May 2007 when Universal Music Group (UMG), the largest of the Big Four companies that dominate the music industry worldwide, sued a Los Angeles-based trader on the eBay online auction site.

The target of the legal action, Troy Augusto, runs a business called Roast Beast Music Collectables.

He makes his living by snapping up rare albums in second-hand record shops and selling them on eBay.

Universal is taking him to task for copyright infringement, saying some of the items he offered for sale online were promotional copies and not authorised for sale to the public.

But digital rights lobby group the Electronic Frontier Foundation (EFF) has taken up cudgels on Mr Augusto's behalf and is counter-suing Universal.

“UMG seems to think that the promotional use only label somehow gives it eternal ownership over the CD," says the EFF.

“While this might make sense to a goblin living in Harry Potter's world, it's not the law under the Copyright Act."

Not transferable

If, like Mr Augusto, you frequent specialist music shops or other outlets selling rare releases to collectors, you may have acquired promo albums or review copies that record labels send out to journalists and radio stations before the regular editions go on sale.

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