WP7 developer threatened with legal action over RSS-based app

Le Parisien wants this app removed from Marketplace.

We have had an email from a developer who is building apps which takes content from newspapers who is being threatened with legal action by the French newspaper Le Parisien.

The paper is asking him either to remove the app, Le Parisien Free,  from Marketplace, and if he does not comply ask Microsoft to do so.  They have also threatened to sue him if neither are forthcoming.

The issue appears to centre around making money from the content of others.  The developer, Martani, has already removed a paid app without ads from Marketplace, and is now being asked to remove a free app which uses AdDuplex ads (which only advertises the apps of other WP7 developers and does not generate income) from his current app.

On the face of it is would appear to be a pretty cut and dried issue, but of course there are thousands of apps like this in Marketplace (and the other app stores), some pretty celebrated like Flipboard on the iPad. My favourite app on Windows Phone 7, Onion 7, is just such an app, but ads value by presenting the information well and making it accessible from my phone.

What do our readers think on this matter?  Should developers be able to use freely provided RSS feeds to create apps and make money, or are the content creators right that their rights are being infringed on?  If so, what should become of all the great apps in Marketplace that already do just that?

Let us know your views below.