LimeWire Settles with Record Companies for US$105 Million

May 13th, 2011 at 7:46 am

LimeWire, through its founder Mark Gorton, and four big-time record labels have agreed on a settlement worth US$105 million. This comes after a U.S. District Judge found the P2P sharing company liable for copyright infringement due to mass piracy of recorded music in a span of 10 years.

$105 million may sound like a huge amount, but that is actually a fraction compared to the $75 trillion that the Recording Industry Association of America (RIAA) demanded.

It is unclear how Gorton will come up with that amount, the RIAA’s lawyers contend that he is worth more than that, pointing out to his $100 million IRA account, his $4 million Manhattan home, as well as his hedge fund and medical software companies.

It is also unclear how the RIAA distribute the settlement amount and whether that money would ever trickle down to the artists themselves. (I doubt it.)

Source: CNET


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