Court rules against UMG in Veoh case

Accused site of supporting, inducing copyright infringement

A federal judge in Los Angeles has ruled against Universal Music Group in a copyright lawsuit against online video site operator Veoh Networks Inc.

U.S. District Judge Howard Matz on Friday dismissed the 2007 suit in which Universal accused Veoh of supporting and inducing copyright infringement.

Matz ruled that Veoh was taking reasonable steps to prevent and take down infringing videos uploaded by its users.

Veoh CEO Dmitry Shapiro called the decision "a great victory." The company noted that with the ruling, it expects to become profitable within the next two quarters.

Universal, a unit of France's Vivendi SA, says it will appeal the decision, saying it runs counter to precedent and the intent of the Digital Millennium Copyright Act.
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