James Delahunty
11 Jan 2011 3:09
The Supreme Court in the United States has dealt a blow to major record companies by refusing to review a decision by a lower court in an antitrust case over the sale of music online.
In 2008, a federal judge dismissed a lawsuit brought against several major record companies which alleged price fixing in the music download market. It stated that the major record companies had agreed on a 70 cent wholesale price for music tracks when rivals began to offer music on the Internet for a cheaper price.
An appeal's court found that the original judged had made an error, ruling the plaintiffs had described enough facts to suggest an antitrust price-fixing conspiracy, and sending the case back to continue proceedings under the judge.
Record company attorneys decided to take the case to the Supreme Court, but the Justices declined to review the decision. The case involves Sony Corp (Vivendi), Warner Music Group and the EMI Group.