CD Antitrust suit. - Tilted Forum Project Discussion Community

BBtB · 06-14-2003, 10:03 AM

Quote:

Federal Judge Approves CD Antitrust Deal
Fri Jun 13, 7:07 PM ET

PORTLAND, Maine - A federal judge approved a settlement agreement Friday in a music antitrust lawsuit that will result in more than 3.5 million consumers receiving nearly $13 each.

Judge D. Brock Hornby issued a 51-page ruling in the case that began in 1996 when attorneys general across the country began investigating whether distributors and retailers had conspired to inflate CD prices.

"This settlement will put cash in the hands of millions of consumers and music CDs in libraries and schools throughout the country, and will ensure that the challenged distributor/retailer practices will not resume," Hornby wrote.

The ruling, however, does not stipulate exactly how much consumers will receive or when the checks will be distributed. More than 3.5 million consumers filed claims, now estimated at $12.63 each.

Hornby asked lawyers to present him with a report by the end of the month on how much it will cost to distribute the checks and how much each check will be.

He also deferred ruling on a plan on how millions of CDs will be distributed to the schools and libraries.

The lawsuit, signed by the attorneys general of 43 states and territories and consolidated in Portland in October 2000, accused major record labels and large music retailers facing competition from discounters like Target and Wal-Mart of conspiring to set minimum music prices.

The defendants — Sony Music Entertainment, EMI Music Distribution, Warner-Elektra-Atlantic Corp., Universal Music Group and Bertelsmann Music Group, and retailers Tower Records, Musicland Stores and Transworld Entertainment — deny any wrongdoing. Attorneys representing the companies declined to testify in court.

Of the total settlement, $75.7 million would be distributed in the form of 5.6 million music CDs sent to libraries and schools throughout the nation.

The proposed cash settlement in the case totals $67.3 million, with roughly $44 million to be distributed to the public. The remaining cash will go toward distribution costs and legal fees.

Hornby disapproved a settlement agreement regarding music club sales that would have been just over $1 million in cash and provided 50 percent discounts for club members on one to three new CDs.

Hornby wrote that virtually all the cash would go to attorney fees, leaving little value to club members. He added that music club defendants have not proven that they were part of any pricing conspiracy.

I say its about time. Lets put them all out of buisness. We don't need them anymore anyway.

jmf1234 · 06-14-2003, 03:35 PM

NICE!!

SecretMethod70 · 06-15-2003, 06:25 AM

My check for $13 is on it's way....is yours? (You had to add your name to the list sometime before March)

This is all nice and dandy...but let's think about this seriously now. CD prices haven't jumped down, most people lost a lot more than $13 because of the unfair pricing, and they're not going to be stopping this activity anytime soon.

So, I'm happy to get $13, but I see this in no way as a victory of any sort for the consumer.

Besides, to apply it to the relevant situation, $13 can't even buy one CD at the prices they charge. And this is supposed to be compensation?

tinfoil · 06-15-2003, 06:46 AM

It is about time that the recording industry is finally being taken to task over their anti-consumer tactics.

Glory's Sun · 06-15-2003, 01:09 PM

Quote:

Originally posted by BBtB

I say its about time. Lets put them all out of buisness. We don't need them anymore anyway.

Ok I know that CD prices are a little high. Sure I'd like to see them come down but if it's a band I really like I am willing to spend 18 bucks to get their cd. I do my fair share of burning but I think I should at least support the bands I like.. so this is great for all people IF cd prices come down and the bands still make money.

Brewmaniac · 06-17-2003, 04:36 AM

Hey guys & gals, I filed a claim, but don't remember how to collect? It seems to me I was to check back after the ruling and do something else. Or am I confused?

perripken · 06-17-2003, 08:49 AM

I went to Borders yesterday, the same CD's I bought at Circuit City for 12.99 were 18.99 at Borders. What a fuckin rip off! Border's has lost any business that I would ever have given them.

06-14-2003, 03:35 PM	#2 (permalink)
jmf1234 Insane Location: Steel City ( the 'Burgh)	NICE!! __________________ Let's go Pitt, we're set for victory Sex is like bridge: If you don't have a good partner, you better have a good hand. -- Charles Pierce

06-15-2003, 06:25 AM	#3 (permalink)
SecretMethod70 Human Administrator Location: Chicago	My check for $13 is on it's way....is yours? (You had to add your name to the list sometime before March) This is all nice and dandy...but let's think about this seriously now. CD prices haven't jumped down, most people lost a lot more than $13 because of the unfair pricing, and they're not going to be stopping this activity anytime soon. So, I'm happy to get $13, but I see this in no way as a victory of any sort for the consumer. Besides, to apply it to the relevant situation, $13 can't even buy one CD at the prices they charge. And this is supposed to be compensation? __________________ Le temps détruit tout "Musicians are the carriers and communicators of spirit in the most immediate sense." - Kurt Elling

06-15-2003, 06:46 AM	#4 (permalink)
tinfoil Fucking Hostile Location: Springford, ON, Canada	It is about time that the recording industry is finally being taken to task over their anti-consumer tactics. __________________ Get off your fuckin cross. We need the fuckin space to nail the next fool martyr.

06-17-2003, 04:36 AM	#6 (permalink)
Brewmaniac Searching for the perfect brew!	Hey guys & gals, I filed a claim, but don't remember how to collect? It seems to me I was to check back after the ruling and do something else. Or am I confused? __________________ "That's a joke... I say, that's a joke, son"

06-17-2003, 08:49 AM	#7 (permalink)
perripken Now a registered fossil Location: Home of the shrinking Kodak	I went to Borders yesterday, the same CD's I bought at Circuit City for 12.99 were 18.99 at Borders. What a fuckin rip off! Border's has lost any business that I would ever have given them. __________________ And in the end, it’s not the years in your life that count. It’s the life in your years. Abraham Lincoln