Indie Records Sue Limewire; Feeling Left Out From RIAA Settlement

from the mo-money dept

Back in May, the big record labels settled with Limewire for $105 million. We questioned how much of that money would make it to artists... but there's a separate question too: what about the indie labels who weren't a part of the lawsuit. Apparently, the labels had asked indie labels to stay out of the lawsuit, and Limewire made a promise that it would offer similar settlement terms to those indies. Apparently, that hasn't happened.. and so the indies are suing Limewire as well. I'd be surprised if this didn't settle relatively quickly.

23 Comments | Leave a Comment..


If you liked this post, you may also be interested in...
 


 

Reader Comments (rss)

(Flattened / Threaded)

  1.  
    icon
    xenomancer (profile), Jul 18th, 2011 @ 4:13am

    Clearly those indie labels deserve to be paid too. I mean think of the artists!

    reply to this | link to this | view in thread ]

  2.  
    identicon
    Forgotten Voter, Jul 18th, 2011 @ 4:20am

    Oh gee, it's not like the indie labels have/had any stake in the crux of the matter. I mean, what ever would the RIAA do, if they allowed every little indie/startup label to act exactly like they do? Where would the artists be?

    reply to this | link to this | view in thread ]

  3.  

    Tribute to Dark Helmet

    icon
    cofiem (profile), Jul 18th, 2011 @ 4:32am

    So no matter what industry you might be in
    The solution when you cannot compete
    Is to sue or threaten or try to win
    However you can; thinking takes a seat.

    If competitors are showing you up
    and you are too lazy to innovate,
    stick your head in the sand, no way, nup,
    it's illegal, it's not fair, don't tell us we're too late.

    If piracy is killing you
    just start treating fans like crooks,
    It's what the lawyers say you must do!
    Spend money on lawsuits, hang them on hooks!

    Don't mind that there are ways to embrace
    this funny digital infinite supply
    ignore or dismiss case after case
    and stoop to FUD, lobbying and the occasional lie.

    Digital is not analog or physical
    What it allows cannot be constrained
    So much content - important and whimsical
    The trick is to innovate and see what can be gained.

    reply to this | link to this | view in thread ]

  4.  

    Re: Think Of The Artists!

    identicon
    Lawrence D'Oliveiro, Jul 18th, 2011 @ 4:34am

    Mmmmm ... artists ...

    reply to this | link to this | view in thread ]

  5.  

    You're cloaking a defeat for your notions with focus on money.

    identicon
    out_of_the_blue, Jul 18th, 2011 @ 5:11am

    The RIAA came out ahead on that lawsuit, didn't they? But in your prior piece, you shift the focus to where the money goes -- which is a good question, but totally ignores that your notions got shot down yet again in court.

    reply to this | link to this | view in thread ]

  6.  

    Re: Tribute to Dark Helmet: Not only a Mutual Admiration Society,

    identicon
    out_of_the_blue, Jul 18th, 2011 @ 5:20am

    but by fourteen year old girls with crushes on each other.

    reply to this | link to this | view in thread ]

  7.  

    Re: You're cloaking a defeat for your notions with focus on money.

    icon
    azuravian (profile), Jul 18th, 2011 @ 5:52am

    Actually, this was a settlement, so nothing got shot down "in court". Limewire thought, rightly or wrongly, that it was easier to settle than fight.

    reply to this | link to this | view in thread ]

  8.  

    Re: Re: You're cloaking a defeat for your notions with focus on money.

    icon
    Dark Helmet (profile), Jul 18th, 2011 @ 6:30am

    Which doesn't even touch on the question of how this is our "notions" getting shot down in court.

    Did all of us black out a few years back and buy Limewire?

    reply to this | link to this | view in thread ]

  9.  
    identicon
    Anonymous Coward, Jul 18th, 2011 @ 6:43am

    Why were the indies asked to stay out of the lawsuit?

    reply to this | link to this | view in thread ]

  10.  

    Re:

    identicon
    Rabbit80, Jul 18th, 2011 @ 6:48am

    So the big labels could bleed Limewire dry then there would be no money left for the Indies?

    reply to this | link to this | view in thread ]

  11.  

    Re: You're cloaking a defeat for your notions with focus on money.

    icon
    Chris Rhodes (profile), Jul 18th, 2011 @ 7:07am

    your notions got shot down yet again in court

    What notions?

    reply to this | link to this | view in thread ]

  12.  

    Where is Limewire getting all this money?

    icon
    Chris Maresca (profile), Jul 18th, 2011 @ 7:37am

    That's what I don't understand... Was it such a profitable operation that there are hundreds of millions just laying around in the bank?

    reply to this | link to this | view in thread ]

  13.  

    Re: Re:

    identicon
    Anonymous Coward, Jul 18th, 2011 @ 8:08am

    Well duh! ;) I thought maybe it was something more clever than that, but...sigh.

    From the article (which I've read and apparently cannot comprehend properly):

    "According to the complaint, Merlin [the firm representing indies] and its members originally agreed not to pursue legal action against LimeWire. Instead, the indie music community all owed the RIAA to pursue its own higher-profile case against LimeWire."

    Emphasis mine, but it seems fishy and/or slanted, that article, like they had any say in what the RIAA did or something. *snort*

    "After LimeWire agreed to pay $105 million to the majors, Merlin wanted a $105 million offer too."

    That just made me bark out a laugh.

    reply to this | link to this | view in thread ]

  14.  

    Re: Re: Re:

    identicon
    Anonymous Coward, Jul 18th, 2011 @ 8:10am

    Bolded word above should be 'allowed', not sure why it separated like that. I suspect operator error.

    reply to this | link to this | view in thread ]

  15.  

    Re: Where is Limewire getting all this money?

    identicon
    Huph, Jul 18th, 2011 @ 8:49am

    Limewire was owned and operated by Mark Gorton, who also owns a stock brokerage, a hedge fund, and a medical software company. Limewire was a very corporate operation. Gortan has a personal net worth of 10 million dollars, and I'm sure his companies are worth much much more. The 105 million dollar settlement is not much of a setback for him or his companies.

    reply to this | link to this | view in thread ]

  16.  

    Re: Re: Re: You're cloaking a defeat for your notions with focus on money.

    identicon
    Anonymous Coward, Jul 18th, 2011 @ 9:24am

    There was enough in the court rulings against Limewire that it is clear they didn't have a legal leg to stand on. Settling for an amount rather than having the court come to that decision is the only intelligent thing they did in the whole process.

    Limewire wouldn't be paying out anything if they thought their service was legal and above board and beyond reproach. You can draw your own conclusions from there.

    reply to this | link to this | view in thread ]

  17.  

    Re: Re: Think Of The Artists!

    icon
    Jordan (profile), Jul 18th, 2011 @ 10:59am

    The "Law Artists"

    reply to this | link to this | view in thread ]

  18.  

    Re: Re: Where is Limewire getting all this money?

    icon
    Chris Maresca (profile), Jul 18th, 2011 @ 1:27pm

    So did the courts pierce the corporate veil? I fail to see how the owner of the company could be held liable if the corporate structure was OK.

    And if his net worth is $10 million, how is he paying out 10x that?

    Very strange all around.

    Chris.

    reply to this | link to this | view in thread ]

  19.  

    Re: Re: Re: Where is Limewire getting all this money?

    icon
    Chris Maresca (profile), Jul 18th, 2011 @ 1:32pm

    Never mind, looks like he was the sole director and owner. What an idiot.

    reply to this | link to this | view in thread ]

  20.  

    Re: Re: Re: Re: You're cloaking a defeat for your notions with focus on money.

    identicon
    HothMonster, Jul 18th, 2011 @ 2:27pm

    oh I agree they were going to lose, but i think the question is when did anyone here ever say limewire was legal? What notion was shot down? That a obvious, open, and massive infringement tool that is profited on by a corporation is going to get its ass sued off?

    What is the next piece of brilliance from captain ootb? That the industry hates thepiratebay?

    reply to this | link to this | view in thread ]

  21.  
    identicon
    cram, Jul 18th, 2011 @ 9:29pm

    reply to this | link to this | view in thread ]

  22.  

    Re: Re: Tribute to Dark Helmet: Not only a Mutual Admiration Society,

    identicon
    Anonymous Coward, Jul 19th, 2011 @ 12:20am

    DNFTT

    reply to this | link to this | view in thread ]


Add Your Comment

Have a Techdirt Account? Sign in now. Want one? Register here
Get Techdirt’s Daily Email
Save me a cookie
  • Note: A CRLF will be replaced by a break tag (<br>), all other allowable HTML will remain intact
  • Allowed HTML Tags: <b> <i> <a> <em> <br> <strong> <blockquote> <hr> <tt>
A word from our Sponsors...
Follow Techdirt
Flattr rss rss
Essential Reading
A word from our Sponsors...

Close

Email This