NewYorkCountryLawyer writes "The RIAA's claim that personalized internet radio stations were 'interactive services' was flatly rejected 'as a matter of law' by the US Court of Appeals for the Second Circuit, in Arista Records v. Launch Media. In affirming the jury's verdict in favor of the defendant, Launch Media — acquired during the lawsuit by Yahoo! — the Court said it did not even need to concern itself with possible errors in the jury instructions, since the trial judge should have directed a verdict for defendant 'as a matter of law' on the question of whether the radio stations were 'interactive services.' At pages 23-42 of its 42-page opinion (PDF), the appeals court carefully analyzed how Launch Media's personalized internet radio stations worked, and noted that the users could neither obtain and play on demand a particular song, nor obtain the transmission of a particular program, thus rendering the RIAA's claim of 'interactivity' meritless."
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