BMG Accepts Settlement From Cox Communications Over Copyright Infringement

Settled

BMG has secured what it calls "a substantial settlement" from COX COMMUNICATIONS in relation to its litigation against the ISP for contributory copyright infringement. The exact terms of the settlement are confidential.

BMG sued COX COMMUNICATIONS for contributory copyright infringement in relation to Cox customers pirating BMG songwriters’ music, alleging that COX refused to terminate the accounts of infringers because it would cost them customers.

BMG was eventually awarded $25 million in damages and $8.5 million in costs, but the verdict was overturned on a technicality -- that the trial judge had misdirected the jury. Ahead of a retrial, U.S. District Court Judge LIAM O’GRADY confirmed that BMG was entitled to use words such as “stealing” and “theft” in relation to COX’s activities

“This was a landmark case in which BMG took on the third-biggest Internet service provider in the U.S. to defend and establish the principle that in order to benefit from a so-called ‘safe harbor’ defense, an ISP has responsibilities," BMG NORTH AMERICA General Counsel KEITH HAUPRICH said. "While the financial terms of the settlement are confidential, we are happy they reflect the seriousness of this case.

“Other ISPs should take note that the law gives protection to the work of artists and songwriters. We will not hesitate to take action where necessary.”

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