Google's lawyers have given youtube-mp3.org 7 days to comply with their demands of shutting down the site before they file suit against them. YouTube, which is owned my Google, is the largest video sharing site in the world. Many of these videos are music videos that through youtube-mp3.org can be converted into an audio file that is easily downloadable.
Youtube-mp3.org is claimed by Google to see 1.3 million visitors daily. The problem exists within the copyright owners. Many of the largest record labels have contracts with YouTube that allow the video sharing site to play their music videos. Conversion sites, like youtube-mp3.org, have allowed YouTube users to get around the system by downloading songs using a URL. The audio file-creating service turns the YouTube URL into a usable audio file.
YouTube's Terms of Service states that users may not take away certain portions of a YouTube video and make it downloadable. Taking the song/audio component out of a YouTube and creating the ability to download it, is a clearly disobeying the rules.
Things like this are always difficult to gage. It's as if someone tried to empty the ocean by taking bucketfuls of water and emptying it onto the beach one bucket at a time. No matter how hard YouTube and Google work to bring this site and others down, there will always be new sites doing the same thing popping up daily.