Record label EMI and German media conglomerate Bertelsmann said this week they had settled their copyright infringement lawsuit that was brought due to Bertelsmann investing in Napster.
We’re not sure what court would ever convict on the basis that investment in a company was an inducement to breach copyright, but this suit has been hanging over Bertelsmann for a few years now.
Terms were not disclosed but as in indicator Bertelsmann paid Universal Music Group $60 million, including reimbursement of legal fees and expenses, which covered the resolution of the legal claims of Universal’s recorded music and music publishing businesses. The deal could have been as high as $50 million, but we doubt it would have been any higher.
Bertelsmann only put $85 million into Napster and already the deal has cost it more than that in legal processes since the suit was brought in April 2003.