I personally do not have an issue at all with converting LIT to LRF for use on a Sony Reader. You paid for the book. It's like taking your CD and ripping the music to FLAC so it can be played on your Rio Karma. That is legal. No way I am going to pay again and again for a book I've already paid for. LIT format allows me to be able to convert it to something some program can read to output the format I need. LRF in this case.
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