First Sale Doctrine authorizes sale of promotional music CDs

The Ninth Circuit Court of Appeals has held that the U.S. Copyright Act's "First Sale Doctrine" permits the sale of promotional music CDs on eBay and elsewhere, even over the objections of the record companies that distribute those CDs and own their copyrights. The court's recent decision in UMG Recordings v. Augusto is noted (and linked to) by Eriq Gardner at The Hollywood Reporter's blog, THR, Esq., and in Loeb & Loeb's Music Law Weekly Case Update for Music Industry Executives. Bob Tarantino notes the case as well, and adds a comment on its relevance in Canada, in the Henaan Blaikie Entertainment & Media Law Signal.