MP3Tunes Files For Bankruptcy
May 15, 2012 at 6:15 AM (PT)
MICHAEL ROBERTSON's MP3TUNES has filed for bankruptcy protection in federal court in SAN DIEGO. The company listed $7,800 in assets and $2.1 million in liabilities.
MP3TUNES is a cloud-based music service that has been engaged in a long and costly lawsuit with EMI, which is continuing its legal action. In a statement, an EMI spokesman told THE NEW YORK TIMES that "despite the bankruptcy, Mr. ROBERTSON was still a defendant in the case. 'As such, he is facing personal liability both for infringements that the court has already determined have occurred and for the further alleged infringements that will be addressed at trial. Accordingly, EMI will continue to pursue its case against ROBERTSON, to ensure that its songwriters and artists are properly compensated for their creative work."
MP3TUNES was launched in 1997, went public two years later, and was almost immediately sued by record companies for copyright infringement.