Since we are all spouting off about things we don't know (I am not a lawyer).
Try reading the public filing record listed here:
http://www.ilrweb.com/viewILRPDFfull...tatementofCase
then spout off based on what you read.
BTW... Gideon.. as I read it, your claims to distribution are not based in case law. From what I read, the copyright holder retains distribution rights. Read the case law and let us know what you come up with.