This is a copy of the lawsuit Universal filed against MySpace on November 17, 2006, in the United States District Court of Central California.  In the suit, Universal claims that MySpace is guilty of copyright infringement.  Universal claims that the songs and music videos shown on MySpace are done so illegally and without permission from copyright holders.  Universal uses Jay-Z as an example in their case against MySpace, saying that songs from his new CD, "Kingdom Come", are available on MySpace even though, at the time the suit was filed, the record had not been released.  Universal says that MySpace is well aware of the copyright laws that it is breaking and continues to support the "user-stolen"content distributed on the site.  They also say that MySpace knows that they don't have a liscense from the copyright holders of the songs and videos it distributes.  The proof, says Universal, lies in the agreement each MySpace user makes with the site that gives MySpace control over what can be done with the content.   Universal says that MySpace knows that these are not the real copyright holders, and yet continues to show infringing content without permission.

This case is extremely relevant to the YouTube copyright discussion.  First off, it could convince MySpace and other similar sites to follow YouTube's lead and strike revenue sharing deals with major studios.  The YouTube business model would then be seen as a blue print for similar companies, and this in turn would help shield YouTube and other sites from future lawsuits.  However, this case could end up hurting YouTube.  Universal claims that since MySpace edits and posts much of the content on the site, they are knowingly infringing upon the copyrights of the videos and songs available on their site.  Although YouTube's users do much of the posting and editing, YouTube itself still edits user content.  If the courts buy Universal's arguments, YouTube could be in grave danger of future lawsuits.