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[HelpPlease]

Hi,
My wife works part-time as a Karaoke host and is being sued by the company Sound Choice, subsidiary of Slep-Tone Entertainment Corp. who makes the karaoke CDs that she uses claiming that she is using pirated material.  Here's the thing, all of her music is legal and paid for.  What this company is doing is sending out a blanket lawsuit against every karaoke host who uses their material, and is then demanding that they either settle for nearly $5,000 if they are guilty (i.e. using pirated material), or prove that they are operating legally.  In order to prove that they are operating legally, the karaoke host must submit to an audit with costs start at $500.

This company clearly has no evidence against my wife, she is simply being sued because she is a user of their product.  We would love to prove her legitimacy with the company, however to charge us for the audit sounds to me like extortion.  How can this be legal?  We believe whole-heartedly in intellectual property rights and anti-piracy law, but do they have a case if they simply want to file arbitrary lawsuits, then charge people to prove their innocence?

Please help

[artchain]

Sadly, you can file a lawsuit whether or not you have a good case.  Many companies use threats of legal action to force people to comply with their demands.

A bit of online research shows that Sound Choice is making some pretty convoluted claims.  For example, they are stating that when you make copies of their disks, even for use on your own systems, you are violating their trademark by creating "counterfeit goods."

They have actually filed a number of lawsuits, so this goes beyond just bluff. 

My recommendation would be that you get a consultation with an intellectual property attorney.

Don't sign any agreements with Sound Choice, or submit to an audit, without first getting some legal advice.

[bleedingpen]

Hi,
My wife works part-time as a Karaoke host and is being sued by the company Sound Choice, subsidiary of Slep-Tone Entertainment Corp. who makes the karaoke CDs that she uses claiming that she is using pirated material.  Here's the thing, all of her music is legal and paid for.  What this company is doing is sending out a blanket lawsuit against every karaoke host who uses their material, and is then demanding that they either settle for nearly $5,000 if they are guilty (i.e. using pirated material), or prove that they are operating legally.  In order to prove that they are operating legally, the karaoke host must submit to an audit with costs start at $500.

This company clearly has no evidence against my wife, she is simply being sued because she is a user of their product.  We would love to prove her legitimacy with the company, however to charge us for the audit sounds to me like extortion.  How can this be legal?  We believe whole-heartedly in intellectual property rights and anti-piracy law, but do they have a case if they simply want to file arbitrary lawsuits, then charge people to prove their innocence?

Please help

Yep.  There is one attorney I know of that does a lot of (if not all) of Slep-tones work and I believe it is all on a contingency fee basis.  Good luck fighting with them.