Feeds

Bertelsmann makes first Napster settlement

Minor plaintiff drops suit for $50,000

  • alert
  • submit to reddit

Eight steps to building an HP BladeSystem

Bertelsmann has made its first settlement in the long-running Napster copyright infringement saga, the NY Times reports.

The German media group will pay $50,000 to Bridgeport Music of Southfield, Michigan to settle "accusations from Bridgeport Music... that it had contributed to copyright infringement by lending millions of dollars to Napster in 2000 and 2001".

This covers Bridgeport's legal fees to date after the company decided to stop pursuing Bertelsmann through the courts.

Bridgeport's lawyer, Richard Busch, said the litigation was "just not cost-effective; that's the sole reason." He added that "the decision to settle the case was not based in any way, shape or form on the merits of the case".

Bertelsmann faces continued legal action from the music industry's big-hitters - EMI and Universal Music Group included - arising from its $85m investment in Napster four years ago. It is charged with aiding online piracy by providing financial assistance to the then illicit music download operation.

Bertelsmann lawyer Bruce Rich said he would "entertain discussions of resolving the case with other plaintiffs in a fashion similar to the Bridgeport case, in which his client paid only the plaintiff's legal costs", the NY Times reports.

The music majors have no intention of dropping the case. Universal Music president Zach Horowitz told the paper: "While Bridgeport may not be a deep-pocketed plaintiff who can afford to go through the cost of enforcing its rights, the publishers and the major record companies don't fit in that category.They truly believe there are billions of dollars of damages they will ultimately be entitled to at the end of the process."

The Napster name was bought by Roxio, and is now entirely legit: recently it began to trade on Nasdaq as an independent company after Roxio's decision to offload its software biz and concentrate solely on music downloads.

Related stories

Napster trades on Nasdaq
Sonic buys Roxio software biz
Legal downloads jumped 900% in 2004

Mobile application security vulnerability report

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
White? Male? You work in tech? Let us guess ... Twitter? We KNEW it!
Grim diversity numbers dumped alongside Facebook earnings
HP, Microsoft prove it again: Big Business doesn't create jobs
SMEs get lip service - what they need is dinner at the Club
Bose says today is F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
Amazon Reveals One Weird Trick: A Loss On Almost $20bn In Sales
Investors really hate it: Share price plunge as growth SLOWS in key AWS division
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
prev story

Whitepapers

Top three mobile application threats
Prevent sensitive data leakage over insecure channels or stolen mobile devices.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.