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Wasn't there an issue several years ago regarding a company that would convert your cds (you mailed them to them) to MP3s that they returned to you along with the cds? That type of service was compared to hiring a college student to do it for you in your house vs. you doing it for yourself on your own equipment. I'm pretty sure that the last of those was found completely legal, but can't remember how the other two panned out.
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