Sony BMG Preliminary Settlement Details

December 29th 2005 | General

Lawyers in a class action lawsuit filed against Sony BMG, First 4 Internet and SunnComm last month have submitted a preliminary settlement, which calls for Sony to stop manufacturing CDs with XCP and MediaMax DRM, provide replacement discs, and make cash payments to affected customers.

Sony will continue its exchange program to replace XCP affected CDs with "clean" DRM-free copies and enable customers to download MP3 versions from its Web site. In addition, the company will offer a choice of two incentive packages to ensure XCP CDs are removed from the market.

"Incentive #1" will provide customers with a cash payment of $7.50 and a free download of one album from a list of more than 200 titles. "Incentive #2" removes the cash payment but allows for downloads of three albums.

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Sony BMG Preliminary Settlement Details
Published in: General on 2005-12-29