Site to Resell Music Files Has Critics; New York Times, 11/14/11

Ben Sisario, New York Times; Site to Resell Music Files Has Critics:

"A legitimate secondhand marketplace for digital music has never been tried successfully, in part because few people think of reselling anything that is not physical. But last month a new company, ReDigi, opened a system that it calls a legal and secure way for people to get rid of unwanted music files and buy others at a discount.

The service has already drawn concern from music executives and legal scholars, who say it is operating in a gray area of the law. Last Thursday the Recording Industry Association of America, which represents the major record companies, sent ReDigi a cease-and-desist letter, accusing it of copyright infringement.

John Ossenmacher, ReDigi’s chief executive, contends that the service complies with copyright law, and that its technology offers safeguards to allay the industry’s concerns that people might profit from pirated music."