So the lawsuit has had the desired effect: RedLasso, the controversial online video clip and sharing service, is suspending its open service for now. “It has no alternative but to suspend blogger access to its video search and clipping Beta site for the immediate future. The company will continue to operate and provide services to its business and Radio To Web clients such as Greater Media and XM Satellite Radio,” according to an e-mailed release.

SEE ALSO: Networks Lose Patience; Sue RedLasso Over Online Clips

Earlier this week, NBC Universal (NYSE: GE), Fox News Network and Fox Television Stations filed a lawsuit, alleging RedLasso hadn’t been licensed or authorized by the networks to reproduce copies of their news and entertainment programming.

“We are very disappointed in the actions of select networks.  We believe we have always acted within the law and have been respectful of the networks’ rights. Unfortunately, they have forced our hand and are denying the blogging community access to the Redlasso platform that beneficially tracks the usage of newsworthy clips across the Web,” said Ken Hayward, CEO of Redlasso.

The company will continue to develop its two B2B services: The first is a solution for businesses that allows them to track and clip content for internal use. The second service, Radio To Web, is an online platform that allows each radio station client to search, clip, and upload its content to its own web site and share that content online.