NBCU, Fox Sue Redlasso Over Clips

NBC Universal, Fox News Channel, Fox Television Stations sue Web site Redlasso for copyright infringement for providing their programming to Web users.

NBC Universal, Fox News Channel and Fox Television Stations sued Web site Redlasso in federal district court late Wednesday for copyright infringement for providing their programming to Web users. Based in King of Prussia, Pa., Redlasso is a content-sharing Web site devoted to media topics.

Redlasso, which launched in November, claimed that its activity amount to protected “fair use.” The TV giants began pressing Redlasso, which is funded by venture-capital outfits, in May, and both sides had been negotiating. The company also hired former CBS corporate CEO Michael Jordan as a senior advisor to help negotiate content-rights deals.

“The startup had raised about $6.5 million in funding previously from Anthem Capital, Osage Ventures, the Guggenheim Opportunity Fund and others,” according to an article by paidContent.org. “It has been reported that the company was looking to raise another round, although at this point, it seems unlikely that any VC fund would come near it.”

Redlasso’s Web site said it provides content to “clip, share and blog multimedia content. Redlasso is free to users.”

The Web site also stated: “Redlasso utilizes an advertising-revenue share model to compensate multimedia content producers/creators/owners and syndicators. Details concerning the monetization model are being finalized -- we would be happy to contact you once it’s ready.”