In a suit headed by the attoneys general of 28 US states, it is alleged that record companies Capital Records, Sony Music Group, Bertelsmann's BMG Entertainment, Seagram's Universal Music Group and Time Warner's Warner Music Group, along with retailers Musicland, Transworld and Tower Records have violated antitrust laws since 1995.
"Our nation's business economy has been built on the notion of a fair and free competition," New York Attorney General Eliot Spitzer, one of the lawsuit's leaders, said in a statement today. "When there is illegal activity to fix prices--as was the case here--the consumer is always the loser."
The lawsuit is based on what the attorneys general say is a long-standing conspiracy to prop up price of CDs.
The FTC has estimated that the potential harm to consumers as a result of the pricing agreements could reach $480 million. The states have not yet set a price tag on their suit, however.
My hope in human nature is strengthened. Supreme religious hierarchies' power was broken, thankyou luther. The monarchic systems were toppled, thankyou napoleon. The recoding industry's (RIAA) control monopoly of the fruits of creative artists is being challenged, thanyou premierly napster.
Edited by - saintsatan on 12 October 2002 1:43:49