Veoh seeks suit against Universal

San Diego (CA) - In a legal turn from most online video disputes, Veoh has announced it will take legal action against Universal for unwarranted threats and bogus lawsuits.

Veoh, a video sharing site created by former Disney bigwig Michael Eisner, says Universal has threatened it with a huge lawsuit without any legal standing.

Veoh CEO Steve Mitgang wrote that Universal’s actions are "designed to stifle innovation, shut down new markets and maintain the status quo instead of working to change and evolve models for today and the future."

According to the Digital Millenium Copyright Act of 1999, websites are allowed to host copyrighted material unless the copyright holder approaches the site and asks it to take down specific pieces of content. According to Veoh, Universal never made any such request.

Universal spokesperson Peter Lofrumento responded by writing a statement that reads, "Universal Music Group is enthusiastic about using technology to build communities, as evidenced by our deal with YouTube." However, Veoh "is perpetuating a disservice to the entire creative community."

Veoh claims it is working on a new technology that would automatically filter clips to weed out specific copyrighted content, but for now it wants a judge to give it protection from the Universal suit. Veoh is not seeking any monetary damages.