Petteri Pyyny
31 Mar 2003 13:09
RIAA has agreed to settle its lawsuit against optical media duplication giant Technicolor (which, for most of the people, is better known as the "Colors by Technicolor" statement in movie credits) for $2.3M.
RIAA sued Technicolor for $23M in last year, claiming that the company allowed pirated CD copies to be made in its factories. Technicolor agreed that the incident happened in its factory, but claimed that the incident was a random accident.
So, RIAA got 10 percent of what it wanted, but it also got an agreement with Technicolor that allows RIAA's inspectors to pop in to its factories at any given time without a notice to check the facilities. Agreement also included a clause that if RIAA will find something illegal, it will first inform Technicolor and parties try to reach a yet another settlement instead of going to court immediately.
Source: Reuters/Forbes