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New video-on-demand service may hinge on Supreme Court ruling

Networks and studios oppose Cablevision's plan to offer rebroadcasts of programs without commercials and without a fee paid to producers.

January 09, 2009|David G. Savage

Industry analysts predict a big leap in the number of video-on-demand customers if they can watch their favorite shows without commercials and without the need for special recording equipment.

In their petition to the Supreme Court, lawyers for the TV networks and film studios said the appeals ruling was wrong as matter of law. Unless it is reversed, they said, it will have "sweeping implications in the digital age, particularly for automated and on-demand services." The ruling, they said, "provides a blueprint for new automated business seeking windfall profits by providing copyrighted works to consumers" without paying a licensing fee to the copyright owners.


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They have been joined in their appeal by an array of groups, including Major League Baseball, the National Football League, the Screen Actors Guild and the National Music Publishers Assn.

Four years ago, the high court heard a somewhat similar case involving the music industry. The justices ruled for the copyright holders and said Web-based file-sharing services could be held liable for aiding others in downloading free copies of music. Lawyers for the file-sharing services had maintained that their clients could not be sued because they were not doing the illegal copying.

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david.savage@latimes.com

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