Even if the “rental” is binding, if the renter (i.e. purchaser) breaches the the terms of rental (i.e. by making a copy for his car or iPod or even for his friend), then the ONLY recourse under halacha the owner (i.e. producer) of the CD has is to declare the rental terms to have been breached and demand the CD be returned and issue a refund for the “rental”. That is the standard (and only) recourse under halacha for a breach of contract — reversing the original transaction.
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