UNITED STATES
	SECURITIES AND EXCHANGE COMMISSION
	WASHINGTON, DC 20549
	FORM  8-K CURRENT REPORT
	Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest reported)			June 9th, 2006
USA VIDEO INTERACTIVE CORP.
(Exact name of registrant as specified in its chapter)
WYOMING		0-29651		06-15763-91
(State or other jurisdiction of incorporation		(Commission File Number)		(IRS Employer Identification No.)
83 Halls Road, Old Lyme, Connecticut				06371
(Address of principal executive offices)				(Zip Code)
Registrant's telephone number, including area code				(860) 434 - 5535
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions.
(   )   Written communications pursuant to Rule 425 under the Securities Act (17CFR 230.425)
(   )   Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
(   )   Pre commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR.240.14d-2(b))
(   )   Pre-commencement communications pursuant to Rule 13c-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

INFORMATION TO BE INCLUDED IN THE REPORT

Section 8 – Other Events

Item 8.01

Other Events.

The U.S. Court of Appeals for the Federal Circuit affirmed, per curiam, the district court’s summary judgment ruling against USA Video Technology Corporation, a wholly owned subsidiary of the Registrant, in its litigation with Movielink LLC.

A copy of the News Release dated June 8^th, 2006 is furnished as Exhibit 99.1.

Section 9 – Financial Statements and Exhibits

Item 9.01  Financial Statements and Exhibits.

Exhibit 99.1

News Release dated June 8^th, 2006

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

USA VIDEO INTERACTIVE CORP.

Date :  June 9th, 2006

By :

/s/  Anton J. Drescher

Anton J. Drescher,

Corporate Secretary

Exhibit 99.1

For Investor Relations Contact:

(860) 434-5535 x125

USVO GETS UNFAVORABLE JUDGMENT IN MOVIELINK APPEAL

(Old Lyme, CT – June 08, 2006) – Today the U.S. Court of Appeals for the Federal Circuit affirmed, per curiam, the district court’s summary judgment ruling against USA Video Technology Corporation, a wholly owned subsidiary of USA Video Interactive Corp. (OTCBB: USVO; TSX: US; BSE/Frankfurt: USF) in its litigation with Movielink LLC.

The court did not determine that USVO’s patent rights are invalid or unenforceable. Consequently, the patent in suit remains entitled to the legal presumption of validity, and other companies providing video on-demand (VOD) products and services may still be liable for infringing the patent.

“We are all disappointed by the decision of the appeals court,” said Edwin Molina, President of USVO. “However we will continue to consider other potential infringements and enforce our patent rights.”

In addition to its VOD patent, USVO continues to market its proprietary digital watermarking product, MediaSentinel™. MediaSentinel is an anti-piracy device that embeds “SmartMarks”--invisible forensic information in every frame of video content--providing the proof courts need to convict the individuals who steal the original material, thereby protecting intellectual property rights.

About USA Video Interactive Corp.:

USA Video Interactive Corp. (“USVO”) designs and markets technology for delivery of digital media. USVO developed its MediaSentinel™ and SmartMark™ digital watermarking technology to provide a robust means for producers and distributors to invisibly protect their content. USA Video Technology Corp., a wholly owned subsidiary of USVO, holds the pioneering patent for store-and-forward video, filed in 1990 and issued by the United States Patent and Trademark Office on July 14, 1992; it has been cited by at least 165 other patents. USVO holds similar patents in Germany, Canada, England, France, Spain, Italy, and Japan. For more information, visit www.usvo.com.

USA Video Interactive Corporate Headquarters Office: 83 Halls Road, Old Lyme, Connecticut, 06371  Telephone (860) 434 – 5535; Facsimile (860) 434 - 5782; Canada Office:  507 – 837 West Hastings Street, Vancouver, BC   V6C 3N6.  Trading symbol on the OTCBB: USVO; Trading symbol on the TSX Venture Exchange US; Trading symbol on the Berlin and Frankfurt Stock Exchanges: USF.   CUSIP 902924208. For more information contact USVO at (860) 434-5535 x125.

The press release may contain forward-looking statements.  Actual results may differ materially from those projected in any forward-looking statements.  Investors are cautioned that such forward-looking statements involve risk and uncertainties, which may cause actual results to differ from those described.

MediaSentinel and SmartMark are trademarks of USA Video Interactive Corp. The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

The TSX Venture Exchange (TSX) has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.