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Tuesday February 8 5:17 PM ET 

 U.S. Judge Imposes Injunction Against Canadian Web Site

 By David Morgan

 PITTSBURGH (Reuters) - A federal judge on Tuesday imposed a preliminary 
injunction effectively preventing the Canadian-based Web site iCraveTV.com 
from showing copyright U.S. television
 programs on the World Wide Web, at least for now.

 In a victory for the U.S. entertainment and professional sports 
establishment, District Judge Donald Ziegler said iCraveTV.com posed harm to 
U.S. copyright holders because the Web site
 (http://www.icravetv.com) had no permission to use the material and its 
security system had failed to screen out American viewers.

 ``The public interest was heavily in favor of the plaintiffs,'' Ziegler said 
in siding with 10 Hollywood studios, four U.S. TV networks and two American 
professional sports leagues who all sued
 iCraveTV.com last month alleging Internet piracy.

 The David-and-Goliath case, which legal experts view as a potential landmark 
for the future of U.S. intellectual property rights on the Internet, has been 
watched closely by Internet, advertising and
 marketing executives.

 ``Today's ruling is another significant legal milestone in our battle to 
stop cyber-theft wherever it occurs,'' Jack Valenti, president of the Motion 
Picture Association of America, said in a statement.

 iCraveTV.com, which bills itself as the world's first 24-hour-a-day free 
Internet TV ``companion,'' had been picking up broadcasts of popular shows 
such as ``Frasier'' and ``Ally McBeal'' from 17 stations
 in New York and Ontario and reoffering them in a digital video stream on the 
Internet with paid advertising.

 The Web site ceased operations Jan. 28 after Ziegler imposed a restraining 
order that expired on Tuesday. The injunction will remain until a trial can 
be held to determine if iCraveTV.com violated U.S.
 copyright law. Plaintiffs are seeking damages of $150,000 for each program 
aired.

 But the judge held out the possibility that he could modify the injunction 
to allow operations to resume in 90 days if Web site operators present new 
security measures effective enough to restrict site access
 to a non-U.S. audience.

 In the meantime, both sides have begun talks aimed at settling the case out 
of court.

 Plaintiffs, who are also suing iCraveTV.com in Canada, say iCraveTV.com and 
its Toronto-based parent TVRadioNow Corp. can be sued in a U.S. court because 
its principals are American citizens and it
 maintains ad operations in the United States.

 On Tuesday, plaintiffs' attorneys were visibly angered by a USAToday 
interview with iCraveTV.com chief William Craig, a former Fox TV executive 
from Pittsburgh, who told the newspaper that the
 actions of his adversaries showed their insecurity.

 ``We do not trust him and we do not want to give him any wiggle room,'' lead 
plaintiff attorney Greg Jordan told the court. ``This Web site was designed 
to reach U.S. viewers.''

 Tuesday's injunction sought only to prevent the Canadian Web site from 
transmitting programs into the United States. But lawyers said TVRadioNow 
Corp. will keep the site shut to all users until new
 security measures can be presented in May.

 ``We have endeavored to use the best technology,'' said Ian Mccallum, 
TVRadioNow vice president for corporate sales and development. ``When we fix 
this it'll meet industry standards.'' He said an
 enhanced system could be ready in three weeks.

 Plaintiffs include News Corp.'s (NCP.AX) Twentieth Century Fox Film Corp., 
Walt Disney Co.'s (NYSE:DIS - news) Disney Enterprises Inc., Sony Corp. 
(6758.T) units Columbia TriStar Television Inc.
 and Columbia Pictures Television Inc., Metro-Goldwyn Mayer Inc. (NYSE:MGM - 
news) and its Orion Pictures Corp., Paramount Pictures Corp., a unit of 
Viacom Inc. (NYSE:VIA - news), Universal
 City Studios Inc., a unit of Seagram Co. (Toronto:VO.TO - news) and Time 
Warner Entertainment Co. L.P. (Warner Bros.) (NYSE:TWX - news).

 TV networks suing were Disney's ABC, CBS Broadcasting Inc. (NYSE:CBS - news) 
AND News Corp.'s Fox Broadcasting Co.