[cninja]

Here is my speculation about what really happened: YouTube has its infringing content tool designed to detect copyrighted content and notify the rights holder. That tool erroneously flagged the Megaupload video as being owned by UMG. UMG just does what it always does when it receives a notification of infringing content: it pressed the button to take it down. Now, UMG is saying the agreement it has with youtube is that if its youtube tool flags a video as infringing, then it is ok to take down the video, even if the identification was erroneous.