EMI and Infospace Reach Settlement on Ringtone Royalties Lawsuit
EMI, in the midst of its own management reorg, has settled its ringtone royalties lawsuit with Infospace, though the terms were not disclosed. It did disclose the settlement in an SEC filing late yesterday. Infospace was sued by the music label in early 2007, to the tune of $100 million for underpaying royalties on using its music for ringtones. At that time it alleged that Infospace and its then-subsidiaries Moviso and Premium Wireless Services had been underpaying royalties and selling ringtones for songs to which they held no licensing rights…EMI’s publishing also alleged InfoSpace (NSDQ: INSP) was selling expressly restricted songs, such as John Lennon
The labels, and publishers need to put more effort into streamlining their licensing and content delivery for third party use worldwide.
This would not have been an issue if they had their stuff together.
I don't think you're reading the news properly. The label walked away from the lawsuit. ie. the label was wrong. how do you go from 100 million to 'shut up don't talk about it it's over'? By being a complete moron. They sued first and asked questions later. Typical music industry BS.