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Comment on Is turntable.fm legal?

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How does this sort of legal uncertainty factor into the way investors view a product/company? On one hand, I feel like the risk could make it a less attractive investment since its an extra liability.

Or would it be a reason for founders to ask for more money, under the idea that they need a warchest of funds to fight expensive lawsuits?

On the other hand, being in a legal grey area could be seen as a barrier to entry for people who don't want a potential litigation nightmare hovering over their heads.

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