"AllofMP3 understands that several U.S. record label companies filed a lawsuit against Media Services in New York," an unnamed "senior company official" stated. "This suit is unjustified as AllofMP3 does not operate in New York. Certainly the labels are free to file any suit they wish, despite knowing full well that AllofMP3 operates legally in Russia. In the mean time, AllofMP3 plans to continue to operate legally and comply with all Russian laws."
The RIAA is known for their scare tactics, and AllOfMp3 is known for their ability to dodge being shut down at every turn. This may turn out to be an interesting battle, indeed. No word on whether or not AllOfMp3 intends to show up in the U.S. for court, though most likely they will not. What will the RIAA do then? Knowing them, they'll probably try to force the hands of ISPs to block access to the site, or something similar. Regardless, it's going to be interesting watching these two battle it out.