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In what looks like the last leg of MP3.com’s legal tangles, the online music company faced off against the independent music label TVT Records on Monday, the first day of a two-week trial to determine monetary damages owed to the label. Earlier this month, TVT Records scored a victory when U.S. District Judge Jed S. Rakoff granted TVT a partial summary judgment, finding that MP3.com had “willfully infringed” on the label’s copyrights through its music-locker service My.MP3.com. The service enabled music fans to listen to CDs they already owned from Web-enabled computers without first uploading the contents of the discs. MP3.com could be held liable for $750 to $150,000 in statutory damages for each of TVT’s copyrights that were willfully infringed. In the latest part of the trial that began Monday morning, the U.S. District Court for the Southern District of New York will be trying two issues: MP3.com’s liability for statutory damages, and determining which copyrights were infringed through MP3.com’s music-locker service. In the earlier part of the case, the court found that MP3.com was not liable for any infringement in connection with copyrights that were not registered with the U.S. Copyrights Office until after they were used on the service. TVT filed suit against the San Diego-based company shortly after the Big Five major labels filed a lawsuit in January 2000. TVT’s music catalog publishes artists including Snoop Dogg, Nine Inch Nails and XTC. Of the majors, four of the five labels settled with MP3.com for $20 million each. Universal Music, which held off on a settlement, received more than $50 million. MP3.com has paid out nearly $170 million in settlements with the labels and with various music-publishing organizations. TVT was the first label to abandon a lawsuit against recording industry bugaboo Napster, which plans to move to a paid-subscription model by July that would give record labels a cut of revenues. Related Articles from The Industry Standard: IUMA Finds a New Home MP3.com Changes Rules for Payback for Playback MP3.com Hit With Double Whammy Copyright � 2001 The Industry Standard

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