that it was a copyright infringement case waiting to happen?
It's happened - actually, it's BEEN happening. Meida gian Viacom sued Google (which owns youtube) over copyright infringement. This is a case that is going to take years and teh lawyers are going to get rich.
The lawsuit began in 2007 and is asking for over $1 billion in damages.
CLICK HERE for some details, including screenshots of documents made public this week. There are some interesting back-and-forth comments on that site, and a few "whoops!" instances.