EMI is suing the music search engine Seeqpod and the playlisting site Favtape—and the sites’ investors!—for copyright infringement, saying that the two sites enable people to listen to copyrighted music online without paying the proper royalties. The sites will probably argue that they aren’t liable for royalty payouts since they only point to songs and don’t host infringing material on their servers, a strategy that has worked for tech startups in previous cases like this one. Something tells me, however, that the investors are not going to be pleased about being on the hook here. [Online Media Daily]