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Lead plaintiff Flo & Eddie Inc. filed the Sirius XM class action lawsuit in August of 2013. The lead plaintiff filed the class action lawsuit to cover the company and the class who owned sound recordings made before 1972. Flo & Eddie asserted in the class action lawsuit that Sirius XM performed, reproduced, and distributed sound recording pre 1972 as a component of its Internet and satellite radio services package. The legal issue for Sirius was the company did not possess the license or have the authorization to deliver pre-1972 sound recordings.
The Sirius XM class action lawsuit claims the company violated California law, which makes Sirius legally liable for misappropriation and implementing unfair competition practices. The lead plaintiff requested financial damages, as well as injunctive relief that prohibits future mishandling of pre-1972 sound recordings. The case went to trial on September 22, 2014, where a judge rules Sirius XM guilty of all charges. Both parties eventually agreed to settle the class action lawsuit.
The Sirius XM case received final approval on May 8, 2017, with the effective date of June 15, 2017. Although Sirius XM agreed to the settlement, the company continues to deny the allegations. However, Sirius XM reached an agreement with the plaintiffs to avoid costly litigation
What You Need To Know
According to court documents, class members of the Sirius XM class action lawsuit “include anyone who owns one or more pre-1972 recordings that were performed, distributed, reproduced or otherwise exploited by Sirius XM without a license or authorization to do so from Aug. 1, 2009 through Nov. 14, 2016. “ Eligible class members no longer have the option to opt out of the settlement or contest any part of the agreement.
The monetary reward varies depending on how many eligible class members file valid and timely claims, as well as whether Sirius XM files an appeal to amend the monetary reward. Sirius XM has established a $25 million settlement fund, with the company on the hook for a royalty rate up to 3.5% on future song performances for 10 years. Eligible class members must submit information with the claim forms that describes the sound recording, which includes the artist, album, song title, and record company label.
The deadline to file a valid claim form is December 31, 2017. Flo & Eddie Inc. v. Sirius XM Radio Inc., Case No. 2:13-cv-05693-PSG-RZ, in the U.S. District Court for the Central District of California had the final hearing scheduled on May 8, 2017. For more information on the class action settlement, access the website www.Pre1972SoundRecordings.com. Class counsel consists of several attorneys who work at Susman Godfrey LLP and Gradstein & Marzano PC. Defense counsel consists of Daniel M. Petrocelli and Cassandra L. SETO from O’Melveny & Myers LLP.