ReDigi Avoids Shutdown Injunction In Capitol's MP3 Suit

Law360, New York (February 6, 2012, 8:12 PM EST) -- A New York federal judge refused Monday to grant Capitol Records Inc. a preliminary injunction against online digital music reseller ReDigi Inc., a triumph for the Cambridge, Mass.-based company, which said it would have effectively shut down in the event the injunction were granted.

In rejecting the record label’s request for an injunction to prohibit ReDigi from further alleged copyright infringement, U.S. District Judge Richard J. Sullivan called the dispute “a fascinating issue,” according to a statement from ReDigi.

The ruling came five days after the judge...
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