One Suit Against Sirius XM Dismissed, But Company Faces More Legal Challenges

One Down, More To Go

A lawsuit over SIRIUS XM RADIO's advertising was dismissed in a CALIFORNIA court last week.  PAIDCONTENT.COM reports that a SAN DIEGO judge dismissed JOEL BROIDA's suit claiming that the satellite service's advertising was deceptive and led to overpayment for subscriptions.  The dismissal was predicated on the plaintiff's attempt to use NEW YORK law in a CALIFORNIA court by a COLORADO resident, and a lack of evidence.

The company continues to face other challenges, including a shareholder suit alleging that CEO MEL KARMAZIN and other executives breached their fiduciary duty to investors by blocking a sale to CHARLIE ERGEN's ECHOSTAR in favor of a lesser deal with LIBERTY MEDIA that offered to keep them in their jobs, and HOWARD STERN's suit alleging that the company owes him a bonus for subscriber increases that came with the merger of SIRIUS with XM.

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