Baidu just can’t seem to stay out of trouble. The Internet search engine has been sued yet again, but this time by U.S. based Chinese Internet music provider 5fad.com at the United States District Court for the Southern District of New York.
5fad.com is seeking relief from continuing copyright infringement and
has accused Baidu of permitting users to download copyright works
without 5fad.com’s approval. Media reports quote Wu Duanping, CEO of
5fad.com as saying "This litigation will be a cornerstone in China's
intellectual property protection cases.” But as the case is not being
heard in China it is uncertain what legal action other music companies
can take against companies that are not based in the U.S., media
reports.
Music downloads has been vital to Baidu’s growth but it is said that if
they lose the case, they may have to suspend this service, but a win
for 5fad.com could persuade other music companies to follow suit.