The recording companies are suing Ford Motor, General Motors and two other companies that manufacture cars which let people burn CDs into its hard drive.

In its lawsuit, the organization claimed it is illegal to create and distribute music and install it in a device without giving them due compensation.  They are demanding a payment of US$2,500 for every music device installed by the defendants.

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The lawsuit was based on a law called Audio Home Recording Act of 1992, which puts restriction on any gadgets or devices that is capable of copying music.

The law was made during a time when the music industry feared that new innovations in technology will enable anyone to digitally copy music.

After the law was passed, musicians, composers and record companies would receive royalties or a percentage of sales of such gadgets. It also stipulated on the law, that the devices can only copy music from the original CD.

Many companies that manufactured or sold devices which can digitally copy music wanted to make sure that their gadgets were not affected by the law.

It led to another law that was passed by a federal court in 1999, which states that devices which can copy music into hard drives are excluded from the Audio Home Recording Act.

Apple's iPod is one of the most popular devices where you can transfer music to. It was released after the new law was passed and sold millions of units worldwide without paying the royalties that the record companies thought they would receive.

Bill Herman, a professor at Hunter College, said if the record companies weren't able to get levy from the sales of the iPod, it will also be the case with the cars.

The cars music-copying device is only like a built-in iPod. And if the iPod is exempted from the law, "it's silly to claim that this car audio system is not," Herman added.

TagsFord, General Motors, Lawsuit