AllofMP3 is illegal, says music industry
Legal action kick-started
By OUT-LAW.COM
Published Tuesday 30th May 2006 14:17 GMT
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A hugely popular seller of music downloads is illegal, according to the music industry, and prosecutions are underway. AllofMP3.com, a Moscow-based service that undercuts iTunes by enormous margins, was accused today of paying nothing to artists.

The website, run by MediaServices Inc, has long protested its innocence. Yet the prices are remarkable: a British shopper can download an album from iTunes Music Store for £9.79; or typically about £0.75 from AllofMP3, which prices its downloads by file size. And the choice is enormous. All those Beatles albums that Apple is not allowed to sell can be found at AllofMP3.com for under a pound.

According to MediaServices, everything is licensed by the Russian Multimedia and Internet Society (ROMS) and the Rightholders Federation for Collective Copyright Management of Works Used Interactively (FAIR). MediaServices says that it pays licence fees "subject to the Law of the Russian Federation". It adds that it is not responsible for the actions of foreign users.

It has been suggested that the service falls through a loophole in Russian law; that public performances of recorded music do not require the authority of copyright holders; that the website pays ROMS and ROMS pays the artists; and that AllofMP3 operates within a grey area of the law.

But this is nonsense, according to the IFPI which represents the recording industry worldwide, with over 1,450 members in 75 countries, including Russia.

"AllofMP3.com is not a legal service either in Russia or anywhere else," IFPI head of litigation Lauri Rechardt told OUT-LAW today.

Rechardt said the site is distributing music without any permission from the artists or copyright holders.

"Unlike all the legitimate sites, it does not pay artists or copyright holders so it is effectively stealing from those who create music," he said. "Like most things that appear to be too good to be true, AllofMP3.com is not what it seems."

Regarding the claim of a licence from ROMS, Rechardt described ROMS as "a Russian organisation that claims to be a collecting society."

He continued: "ROMS has no rights from the record companies whatsoever to licence these pieces of music. ROMS and AllofMP3.com are well aware that record companies have not granted authorisation for this service."

He urged British consumers to stick to legal services. "Downloading from AllofMP3.com is illegal in most countries," he said. "Allofmp3.com clearly operates outside the international standards for copyright law, established by the EU Copyright Directive and World Intellectual Property Organisation (WIPO) treaties."

Rechardt continued: "Even if one took AllofMP3.com’s license from ROMS as legitimate, which it is clearly not, it would still have no extra-territorial effect."

The site itself acknowledges: "You are not able to download audio and video from AllOFMP3.com if is (sic) in conflict with the laws of your country of residence."

But recent figures from market research firm XTN Data suggest that AllofMP3's market share, at 14 per cent, is second only to iTunes, with 44 per cent, in the UK. That puts it ahead of Napster (8 per cent), Wippit (6 per cent) and MSN (6 per cent) in digital music sales.

Legal action has begun. There are two separate criminal proceedings ongoing in Russia. The public prosecutor in Moscow is taking a former director of MediaServices to trial. And a second case against a current director of MediaServices is in the investigation phase, according to the IFPI.

In May 2005, a German court granted a preliminary injunction against the site saying that it had no right to offer music in Germany without the proper rights holders' consent. In October 2005, the Italian authorities shut down a portal, allofMP3.it, and began a criminal investigation into it.

British consumers who buy music from an unlicensed site are infringing copyright. In theory, they could be sued by the music industry. However, the industry's legal action to date has targeted only those who upload music for others to access, using peer-to-peer services like Kazaa.

Hell I knew that! I sure wouldn't want my CC info going over to them either!

"Legal action has begun. There are two separate criminal proceedings ongoing in Russia. The public prosecutor in Moscow is taking a former director of MediaServices to trial. And a second case against a current director of MediaServices is in the investigation phase, according to the IFPI."

This is probably a lie. This info is comming only from the IFPI and could not be confimred. What a pack of liers at the majors. There is no evidence of any prosecution against AllofMP3 related to MP3 download. A former court decision in Russia declared AllofMP3 operation legual. I believe they take their dream for reality! What are they smoking at the IFPI?

Any way I am not necessarely defending AllofMP3 particularly after kazza turn out to be just another pack of parasites.

I believe that this is a vain effort for trying to discourage people from downloading from AllofMP3.

I agree. This is music industry propaganda intended to discourage people from using AllOfMP3. AllOfMP3 is legal according to Russian law. That's why past efforts to shut them down were unsuccessful. Also, allegations that they don't reimburse artists are misleading. Any copyright holder is free to register with ROMS and receive royalties.

"...was accused today of paying nothing to artists."

Replace AllofMp3 with RIAA and you have more truth than what the industry is spewing.

Yeah, I smell hypocrisy here, too.
Most assuredly, the IFPI represents the interests of the RIAA, and we at this website especially are aware of how the RIAA has dragged their feet in numerous instances to keep from paying royalties to artists.

This article is interesting. For one thing, I was unaware that AllofMP3 cautioned customers to the effect that they not download audio and video from AllOFMP3 if doing so would be in conflict with the laws of the nation where they reside.

Didn't the IFPI try this before & the Russian police said "sorry, copyright law doesn't cover digital delivery"

I recall reading that the ROMS system will be changing in September 06 that would make allofmp3.com's service illegal after that date.

and there is a little clause in the US law that allows for IP purchased legally elsewhere to be "imported" for personal use.

"....and there is a little clause in the US law that allows for IP purchased legally elsewhere to be "imported" for personal use...."
Leflaw,is this true?

-= Disclaimer:This is just my opinion. =-
- As such I'm NOT suggesting any comment following -
- this preface is true. In fact I live in a fairy-tale -
- and nothing I say should be taken seriously. -


"Any copyright holder is free to register with ROMS and receive royalties. "

If any of them did that it would show acceptance of a system they don't directly control.

That's the LAST thing they want.

They also said recording from tv was illegal. recording from radio was illegal. singing happy birthday in public was illegal. etc.....

-----
Distilled1 said:
Hell I knew that! I sure wouldn't want my CC info going over to them either!
-----

i have used my credit card numerous times and so have many people that i know. i have never had a problem or charge show up in over a year of regular usage.

"AllofMP3 is illegal, says music industry"

They've been saying that about Kazaa for years but, as of 10 seconds ago, they were still there.

"Most assuredly, the IFPI represents the interests of the RIAA..."

It definitely represents the same companies.

I am just about dry heaving at all the legal action crap that the RIAA has done and the MPAA is doing. The most recent is the idiocy of the Swedish people allowing a law to go into effect last year, which culminated in the raid recently against PirateBay.org, the bit torrent site.

The Swedish police, acting as lackeys for the MPAAk, raided PirateBay.

This, on top of the RIAA saying one cannot legally copy ones own legally purchased CDs (http://arstechnica.com/news.ars/post/20060215-6190.html).

Bottom line is, it is said people get the government they deserve, and unfortunately, people are too apathetic or uninformed to put sufficient pressure on their legislative representatives to have reasonable changes in the laws enacted to enable reasonable consumer usage of their legally purchased entertainment content.

~Code

"AllofMP3 is illegal, says music industry'

Well this would only be worth a damn if they were a legal body of any kind, of which they are not.

-= Disclaimer: This is just my opinion. =-
- As such I'm NOT suggesting any comment -
- following this preface is true. In fact -
- I live in a fairy-tale and nothing I -
- say should be taken seriously. -

It is ILLEGAL for ANYONE over 300 pounds in weight to wear a THONG in public.
It is ILLEGAL to fart into a fan.
It is ILLEGAL to smile in public within 20 minute of eating Broccoli.

Why,
Cuz I SAY SO.
I have just as much authority to declare something illegal as the RIAA/MPAA.

Dredd's laws make sence, ya got my vote
"Any copyright holder is free to register with ROMS and receive royalties. "
perhaps indie artists who own their own music should register and even send a perfect copy to Allofmp3.com to insure legal customers get a good product ...?

This was discussed last year, when allofmp3 was under investigation by Moscow poloice (from many complaints by the IFPI and others) in Feb 22, 2005. But, in March 7, 2005, the Russian prosecutors dropped everything because they cannot take any legal action. However, even then, it was discussed that things may change on September 1, 2006 when the new amendments take into effect. this is according to the Russian Organization for Multimedia and digital Systems at http://www.roms.ru/?lang=eng

Of course, there's more info about this from a, probably russian site, http://www.museekster.com/allofmp3faq.htm