Warner Target of 14 Digital Music Suits
Even after settling with Apple's iTunes on 99-cent downloads, at least one record label is still battling elsewhere to justify the price of digital music. Warner Music Group disclosed in a quarterly filing with the Securities and Exchange Commission that it has been named as a defendant in 14 class-action lawsuits related to the price of digital music. Five of the lawsuits were filed in New York, eight in California, and one in Washington, D.C.
Warner said it expected all the lawsuits to be combined into one case. All cases accuse the label of colluding with other labels to artificially fix prices for digital music downloads. "The company intends to defend these lawsuits vigorously, but its unable to predict the outcome," it said in the filing. As well as the class action suits, Warner is cooperating with inquiries launched by the New York Attorney General and Department of Justice into the same topic.