The lawsuit was filed Wednesday in federal court in New York against Moscow-based Mediaservices, which owns AllofMP3 and another music site, allTunes.com.
A slate of major record labels, including Arista Records LLC, Warner Bros. Records Inc., Capitol Records Inc. and UMG Recordings Inc., are behind the lawsuit.
The music companies are seeking a court order against Mediaservices and unspecified compensatory and punitive damages.
A call and an e-mail seeking comment from the Washington D.C.-based spokesman for Mediaservices were not immediately returned.
AllofMP3 typically charges under $1 for an entire album and just cents per track. By contrast, an album at Apple Computer Inc.'s iTunes Music Store and other licensed services typically costs about $10 and a song 99 cents.
Mediaservices has maintained that by paying royalties to a Russian licensing group, the website is in compliance with Russian laws. The music industry contends that the Russian licensing group doesn't have the authority to collect and distribute royalties.
AllofMP3 is sued for $1.65 TRILLION!!!! which is $150,000 for each song
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