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Ex-MTV Executive A Suspect In Promo and Piracy Case

Today a federal court of appeals in the US will consider if selling so-called promo CDs is illegal. Over in the UK another investigation is running its course after James Hyman, a high-profile ex-MTV executive and radio DJ, became suspected of selling hundreds of discs on eBay, some of which are believed to have fallen into the hands of groups who later released them on the Internet.

“On Monday, a federal court of appeals in Seattle will consider whether it is legal to resell ‘promo CDs’. You’ve seen them, the CDs mailed out for free by record labels to industry insiders, reviewers, and radio stations, each bearing the label ‘promotional use only, not for resale’,” writes the EFF in an article titled “Why Your Right To Sell Promo CDs Matters.”

The case sees Universal Music Group take on an eBay seller called “Roast Beast Music”. Roast Beast Music buys promo CDs at used record stores and sells them on eBay. In 2008 Roast Beast Music won its case but Universal, undeterred, appealed the decision.

Over the pond in the UK a similar question could be answered shortly.

Earlier this year TorrentFreak learned of raids quietly carried out against members of an Internet release group, a case that is still ongoing. In the course of our investigations into this event we stumbled across another release group whose sources for new material had suddenly and coincidentally dried up. It didn’t take long to work out that both groups somehow had a connection to the same supplier.

Our investigations then led us to look closer at an eBay account which had been offering, amongst other things, promo CDs. The individual behind the ‘popculture4sale’ account clearly had access to a huge number of them and had conducted many thousands of sales through the site.

Armed with the user names of both the seller and some of the buyers we started digging deeper and asking questions, and we were surprised at what we found.

In 2006 a row blew up on an online forum over some unreleased tracks being sold on eBay. Someone interested in finding out who was behind the sales obtained the seller’s address. That address was a perfect match for the contact address provided for ex-MTV executive James Hyman on his personal website.

Hyman began his career at MTV Europe in 1988 as Press Officer but later went on to become Senior Producer, Director and Programmer. His achievements there were impressive.

“From 1988 to 2000, Hyman steered MTV through the emerging UK dance music scene, from its inception (the acid house explosion) right through to its current global multi-million dollar culture. Hyman’s MTV shows featured over 500 in-depth interviews with all the major players, many unknown at time of interview: The Prodigy, Goldie, Moby, David Holmes, Chemical Brothers, Underworld, Paul Oakenfold, Aphex Twin etc,” reads information from Hyman’s personal website.

“Hyman, involved in all aspects of MTV’s playlist strategy & programme production was also responsible for producing, directing and editing over 250 pop videos, including clips for Fatboy Slim, New Order, Mike Oldfield, Moby, Prince & Michael Jackson,” it adds.

The row about promo sales played out on the NuSkoolBreaks forum. However, it seems that Hyman, who had left MTV at the time of the transactions and had joined London’s XFM as a DJ, took exception to having his real name, address and associated eBay account linked in public. Hyman went on to threaten the forum’s administrator with legal action, should he not take down the information. The multi-page thread in question was edited, but not enough to obscure who the discussion was about.

So here we are back in 2010 and it seems that despite the probability that Hyman obtained said promos 100% legitimately and probably had little or zero idea the music would turn up on the Internet, he appears to be in considerable trouble. A source close to Hyman confirmed to TorrentFreak that he became a suspect in the case several months ago and has been answering bail.

In the weeks prior to posting this article TorrentFreak contacted Hyman via his current company website twice and gave him an outline of what we know along with an opportunity to contribute and comment, but we have received no responses.

According to his site, Hyman has a personal media library which includes over one million magazines, in excess of 50,000 vinyl records and more than 50,000 CDs. That’s several lifetimes worth of viewing and listening. Clearing some of them out on eBay seems to make perfect sense – how much music can one person listen to?

But that said, this situation provides much food for thought. If someone legitimately and freely gives a another person an item, should they then be entitled to do with it as they please? With just about any other item on this planet that would be fine. With promo copies of music, it seems to be a different story.

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  • Pedant

    An excellent story. You people are turning into real journalists, capable of writing truly thoughtful pieces.

  • Shadow

    @1 So very much agreed.

  • Hassing2112

    This very issue has already been tested in Federal court in the USA, and the ruling was that promotional cd’s are 100% covered by the first sale doctrine, and can be sold to anyone, anywhere to ones content.

    More info here:

  • http://www.eZee.se www.eZee.se

    A refreshing and journalistic piece, bravo!
    (and keep up the good work)

  • down to nwo

    Yeah I bought alot of promo cd’s that were clearly burned from the local convenience stores. I like them screwed & chopped though so thats why they are there, because they are not at many other places and for $5 a cd, I couldn’t really say no if I had the cash to listen to good music.

  • duane

    Some very good reporting there, enigmax. Well done.

    The problem is, the thingy on the CD that says “don’t resell” probably counts as a contract between you and whoever gave it to you. I guess you “sign” this contract by accepting the CD.

    But, this is of course very stupid.

    Not only did you never sign a real contract, the CD is your property and you should be able to to do whatever you want with it — your right to your property is a basic human right, after all.

    And not only do they try to enforce these fake contracts, they also have copyright law on top of those that stops us from making copies of music we bought and own.

    All very stupid.

    But hopefully, we’ve already hit rock bottom and things won’t get any worse — hopefully, from here on we’ll see these arbitrary restrictions and imaginary property stuff start to disappear…

  • gorehound

    Universal Music Group can suck my arse.how many times have you ripped off artists and consumers alike ??? millions upon million times.

    now you want to grab another slice of the pie and stop stuff you get for free and maybe not want anymore from being sold.

    this issue has already been covered.you are grabbing at straws.the war is on and you will lose.

  • KingSkaFa

    @1 + 2 I agree too

  • Britfag

    The selling of promos is illegal, the laws in the US/UK difer. Promos in the UK are classified as property of the label who has sent them out, even when the intended user receives it. They can recall them any time they want, and if they are sold on you get charged with handling stolen property with intent to sell.

  • CMD

    Great article, i always thought the idea of a promo was to get out some music to as many people as possible, to garner huge interest.

  • But seriously

    @9 then all those second hand shops in the UK better watch out…and all those games stores that re-buy then resell the games…all illegal especially where at the bottom it probably says something like this “FOR HOME USE ONLY unauthorisedcopying, rental, lending, re-sale or charging for use of this product…are prohibited…
    Hey and thats just a game at random from my collection!!! read the boxes it will say something like that somewhere…which i guess means that even though YOU bought it with YOUR own money it still belongs to the facists that lent you it…but if this is so then they should refund money when you dont want it, they should take back faulty discs etc and state clearly that it doesnt actually belong to you and that you are being misled into believing otherwise…

  • lol

    If it clearly states NOT FOR SALE/RESALE then it’s his own problem for buying it in the first place. But the main source of the sale should be the one who originally sold the items in the first place that should be the ones being questioned. If say ICE FM got 10 promo copies of a track that states on the packages do not sell, they then sell it, they are the ones who should be questioned first. He is clearly a reseller. I’m guessing if he was to loose this case then it should be fair that he should also be able to get it losses of sale back from the original seller. Although tat might be a tad hard.

  • But seriously

    The world really does get crazier each and every day…money is the problem ! or at least the thought of it, the value of it when in fact it is just paper…paper that like everything else certain people want as much of by any means they can.

    …please Mr record/movie company i bought your VHS copy of [insert movie name] and as my video player is obsolete and i have upgraded to something called bubbaray ;) i noticed on the back of said VHS that i don’t actually own it and that it is YOUR property so please if i post this to you, with you paying of course, could you send me the new Bubbaray version…thank you and i hope to see a nice new copy soon…

    You have to think really that if the product is/was never yours then you are either renting it or can trade it in for a newer version such as a bubbaray disc lol afterall i now have smokey n the bandit on V2000, Betamax, Vhs, Laserdisc, dvd and hopefully soon Bluray…surely i deserve a free copy from the movie company :)

  • John

    What an unfortunate surname :/

    It was only a matter of time until he got screwed.

    Besides, the promo CD’s are released to improve market penetration.

    Perhaps he should have worked for a more relaxed media giant like Virgin.

    ….

    Vagina.

  • Old Timer…

    @14 John….That was funny.

  • Nutman

    Holy crap, I can’t believe what I’m reading. A real thought out article that isn’t completely biased. Hopefully this is a sign of things to come around here. Great article.

  • SuperSpunk

    LMAO at “Hymens are meant to be broken”

  • anon

    @1 amen, been noticing that aswell, 3 cheers for Torrentfreak!

  • mick

    Vagina Records :P

  • Pingback: Promo and Piracy Case:Ex-MTV Executive is a Suspect « SYSTEMA

  • Anonymous

    if you translate the meaning of Vivendi Universal in english you got

    Nasty and dirty Universe.

    This is exactly what this corporation of depraved parasites is all about.

  • Anonymous

    If it’s free why sell it…

  • LoveCDR

    Im a collector of promo cdrs. It’s the only cds i buy.

    Guess i’ll better hurry up and buy more cdr before its illigal :s

  • DigaNoALaPirateria

    How much can you get on Ebay for used CDs? Not a lot.
    …Then again, maybe promos are worth a little more than $2-$10!

  • sana khan

    i noticed on the back of said VHS that i don’t actually own it and that it is YOUR property so please if i post this to you, with you paying of course, could you send me the new Bubbaray version…thank you and i hope to see a nice new copy soon…
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    http://www.mobigang.net/

  • Nona

    Embarrasing

  • Brandon

    The actual music cd/dvd prob can get for .99 and 5buck shipping. promotional cd/dvd .01/3buck shipping and you have to watch the lower screen say promo view only every 5 seconds.

  • joe

    If I paid for it legitimately then it’s mine and I can do whatever I please with it, no ifs no buts.
    The idea that you can buy and own something but still not own it is obviously ludricous.

  • Whatever

    “buys promo CDs at used record stores”

    The promo CD’s already have been (re)sold twice, the only difference is that it is now sold on the internet so if Universal doesn’t go after the source there is no reason for them to win a case against a third generation seller.

    Should be a very short case or how would Universal explain that it is allowed to sell it 2 times but not 3 times. The judge must be totally stupid if it will let Universal win.

    (wonder if any neominds can make up some excuse up for their bosses)

    Ofcourse, if you don’t want something to be sold, don’t give it away for free or only after letting the receiver sign a contract (“not for resale” on a CD doesn’t make it something you agree to).

    If it wouldn’t be allowed to sell the following will happen:
    cd $0
    package and handling $10.

  • Anonymous

    Slapping “Not for sale/resale” on any item means fuck all. There is no contract. Nobody agreed anything. Just one side made up some rule.

    There is a precedent for this but I forget whether it was US or UK.

    A guy working for a radio station used to take promo CDs out of the bin out back after they had been discarded by the radio station. He would then sell them. The radio station tried to sue him, I think, on theft. He got away with it, because

    a) when you throw your rubbish out you are relinquishing ownership

    b) simply stating “not for resale” has no legal basis and actually contravenes certain rights.

    That was only 1 or 2 years ago but things have moved on a lot since then thanks to the shady underhand dealings from the RIAA/MPAA. Who knows what result they will get now that they have corrupted and subverted politicians and judges etc. to their side.

  • DonkeyPunch

    Always enjoy reading your articles, enigmax. Well done.

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  • Ricardo

    “If someone legitimately and freely gives a another person an item, should they then be entitled to do with it as they please? With just about any other item on this planet that would be fine. With promo copies of music, it seems to be a different story.”

    Its not that simple. As stated here, the CD’s are clearly marked as “not for resale”.

  • John

    @ 32 – Ricardo

    Actually, you can print whatever nonsense you like on a product. Doesn’t make it legally binding though.

    Many keys have on them “Do not duplicate”.
    Means nothing to 99% of locksmiths which carry that keyblank. Unless there’s a law on duplication (which there are on some government ones), you can copy it.

    Same goes for CDs you own.
    Not the case for CDs you lease though… which sounds like it might have been the case.
    The real question is – did he own the promo CD or was he leasing it.

  • shoop-da-woop

    This guy was supplying 2 major music groups, -DV8 and -ARTiSTNAME. He deserves everything he gets.

  • hey

    Good article, writing and researching skills are improving nicely.
    My question is this: Whats the difference in terms of Promo cds and dvd screeners sent out? They both say for such and such, not to be sold.
    If it’s been tried in court and found that promo cds are legal to sell, then why not a dvd screener?

  • G Thompson

    The whole argument on the publishers “owning” the promotional CD’s and can require them back at any time, and if you do not return can be either charged with theft (or in actuality Detinue) breaks down when you consider one important fact about “promo” products that these organisations forget to mention.

    They have claimed all of the promotional products back under Tax as either “marketing” and/or the sending of Gifts for promotional purposes. This is under all UK/US/CAN/AUS Tax structures.

    So if these companies then “win” the battle of not allowing anyone to resell these marketing gifts, then the companies then will have a nice case to answer to by the relevant Tax authorities. Like “Pay back the Tax you claimed”. I would suspect that would be in the order of millions of pounds (if not billions) over the last few decades.. And yes I would think the tax authorities would retrospectively backdate.

  • Michael

    As a former journo, I was reminded occasionally that the CDs being sent to remained the property of the sender not the receiver. It shouldn’t make such a difference, but in this day and age…

    However, I know of colleagues that were selling promo CDs to second-hand shops on the day of release, which I always felt a bit unfair of them.

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