Spotify Faces Music Over Ad Display Patent Claims

Law360, New York (June 3, 2013, 5:35 PM EDT) -- Spotify Ltd.'s North American unit was hit with a patent infringement suit in New York federal court Wednesday alleging that the streaming music provider's advertisements improperly display Mobile Transformation LLC's patent-protected technology.

The Delaware-based patent-licensing company accuses Spotify USA Inc. of stealing technology that runs ads that play while the company's users listen to their chosen songs in violation of U.S. Patent Number 6,351,736, titled "System and method for displaying advertisements with played data."

Spotify's infringement of Mobile Transformation's exclusive rights under the '736 patent "will continue to damage the plaintiff, causing irreparable harm," the complaint said. Spotify's "activities have been,...

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