EMI is now settling a ringtone-related lawsuit involving InfoSpace, according to details surfacing Monday.
The $10 million, publishing-focused suit accused InfoSpace of a number of transgressions, including the underpayment of royalties and the unauthorized usage of various songs. The case was first filed in the United States District Court for the Southern District of New York in January of 2007, according to regulatory filings submitted by InfoSpace.
In its defense, InfoSpace denied the accusations, and actually countersued for $1.5 million. Financial details of the recent settlement were not disclosed, though InfoSpace outlined a modest impact on its bottom line. According to the paperwork, InfoSpace “does not expect that the settlement reached … will materially and adversely affect the Company’s business or results of operations,” an indication of a more mild out-of-court agreement.
Story by news analyst Alexandra Osorio.