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Kaleidescape, DVD CCA Settle Lawsuit

2 Jun, 2014 By: Chris Tribbey

A decade of back-and-forth litigation between upscale movie server company Kaleidescape and the DVD Copy Control Association (DVD CCA), the licensor of the Content Scramble System (CSS) for DVD, ended June 2 when the two agreed Kaleidescape servers sold after Nov. 30 will no longer be able to import CSS-protected DVDs.

The case was settled in the California 6th District Court of Appeals in Santa Clara County, and has Kaleidescape dropping its appeal of a superior court injunction in place since 2012 against its proprietary movie disc storage system.

The agreement means systems sold by Kaleidescape after Nov. 30 can only play DVDs with the physical disc in the server. Kaleidescape expects to have most DVD movies available for download from its Kaleidescape Store in the United States by that date, and for markets outside of the U.S., Kaleidescape systems sold after Nov. 29 will be Blu-ray Disc movie servers only.

“This agreement is a watershed moment for Kaleidescape. Electronically delivered movies are the future of home video. This agreement allows us to focus on creating the future of digital content ownership,” said Cheena Srinivasan, founder and CEO of Kaleidescape. “As the most trusted brand among home theater enthusiasts, who purchase far more movies than the average consumer, we are committed to delivering the best products and services for the most entertaining and immersive movie-watching experience at home.”

The DVD CCA first filed a lawsuit against Kaleidescape in late 2004, claiming the company violated its contract with DVD CCA, by selling a product that makes a copy of protected DVD content on a server and allows it to be played back without the presence of the disc. Kaleidescape won that case in 2007, but DVD CCA appealed to the California Court of Appeal, which in 2009 sent the matter back to the California Superior Court for a second trial.

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