RIAA Settlement: Possible Consumer Payback

KoopaTroopa writes "Over on Ars Technica they are running a story about the RIAA handing out consumer payments as a settlement to a price-fixing class action. If you bought a recording at retail between Jan. 1, 1995, and Dec. 22, 2000, claim your money." As usual, the lawyers win a lot more than you will, but the process is pretty painless if you'd like to collect part of the settlement money; you may recall this earlier story about the settlement.

Comments

Not guarenteed.

[gmiller123456]

Note that you're not guarenteed to get anything. They've apparently already settled on how much they'll pay, and it'll be divided amongst everyone who signs up. It it gets down the less than $5/person, all of it goes to charity.

quite whining and read the form

[endoboy]

they don't ask for your social security #, they ask for the last 4 digits. They also don't ask for mother's maiden name

If you're unwilling to give them your name and address, how precisely do you wish for them to send you the $$$?

Re:quite whining and read the form

[k3v0]

social security numbers are decided based on your birth state and other info. this article is pretty interesting http://www.howstuffworks.com/social-security-numbe r.htm

Re:No thanks RIAA,already gave at

[aridhol]

I don't know how much you pay, but here are the numbers for Canada. The CCFDA (Canadian Coalition for Fair Digital Access) is trying to fight it.

Huh?

[autopr0n]

Do you live in canada? If not, why are you using "music" CD-Rs rather then "data" ones for your music? (the only diffrence between the two is that music disks will work in special music drives, have serial copy protection (no copies of copies) and are taxed by the RIAA. Data CDs work in music players, have no SCP, and cost only a few cents, in general)

Re:Ah it's about time something is done!

[Creepy]

yeah, but distrobution and retail markups make up a good chunk, as well. As you said, artists usually end up with squat (songwriters get paid better than artists, but artists/songwriters still get paid squat). The good, low risk money was in becoming a songwriter and NOT a musician/performer - they make 10 cents a song rather than 1 cent (you may need to adjust that number for 8 years of inflation). This rate is set by some organization, I think ASCAP in America, but it's been a while since I dealt with it.

Remember that retail stores typically double the prices, so your $15 CD is bought by them for $7.50, ~$3-4 is taken by the distributor, unless the record company is also the distributor (Time Warner, for instance), and the remaining $4.00 is split between the artist and the record company, usually 98% recording company, 2% artist. The record company then claims most of their money was spent on promotional and distrobution costs (which may also get taken out of the artist's paycheck).

Record companies claim to take the risk, which they do, to a degree, by fronting money for recording, but I seriously doubt many of them don't break even, as they still expect the artist to pay back expenses out of their 2%, and if they don't break even they "lost" money. Major artists can get 20-50% of the cash rather than 2%, but I don't know any of them (I know a lot of bankrupt bands, tho).

Re:I concur, RIAA still gets bled

[Golias]

Even if you only see $5, it adds up to a large penalty against RIAA

Holy shit, the ignorance flying around here is blinding today. Sorry to single you out, but you are one of many who seems to completely misunderstand what you are signing up for here.

1. The RIAA loses nothing. This is a lawsuit against a group of record labels. Yes, the RIAA lobbies on their behalf, but if anything this will result in the labels investing more money into the RIAA, to help insure that they don't get stung like this again over something.

2. Your signing up does not mean more money gets added to the penalty. The penalty was already settled by the ambulance-chasing lawyers who set up this class action... and it ain't much. You signing up just means the tiny fraction of the settlement that actuallly goes to those who were "damaged" by high CD prices gets divided up more thinly.

3. The settlement didn't do jack shit about high CD prices. Go to your local record store, and notice that albums that used to cost $13 about two years ago are now going for $17. Like almost all corporate class-action lawsuits, the lawyers get rich convincing you that you got "free money" coming, but the reality is that the costs of litigation and penalties are typically passed on to you, the consumer, while the handful of lawyers who suckered you into helping them make the suit look legitimate are making off like bandits... which is what they are.

If you want to fight the RIAA, give money (more than $5 would be nice) to the Electronic Frontier Foundation, or 2600's legal defense fund, or Senator Hatch's campaign fund. Signing up for this settlement just makes you a participant in the over-litigious culture we are rapidly becoming, while doing nothing about the problem other than make you feel like you are doing something about it.

Just called Rust Consulting

[NotesSauceBoss]

Talked to a fellow there named Matt Potter to get a little more personal connection to this stuff.

The Notice of Proposed Settlement is available at: http://www.musiccdsettlement.com/english/notice.ht m and includes both the individual state's AGs on the case, as well as actually listing the URL for the website itself.

Mr. Potter stated that the detail of information is to ensure that fradulent claims aren't filed -- primarily by attempting to prevent the same person from filing multiple times.

I suggested they put in a privacy notice. We'll see.

I also warned him of the impending Slashdotting. He didn't know what I meant. hehe

Re:Signing also says you agree.

[agrounds]

In fact, everyone should go beyond just passively not claiming their share of this settlement, and actually submit the appropriate paperwork to exclude yourselves, in essence rejecting the settlement. We all know this isn't a fair compensation, and the more people who speak out and say so the better the chances that a more equitable settlement will be reached.

I couldn't agree more! I'll even take the liberty of helping this along:

Just so you don't have to find the means of doing this:
From the settlement:

If you do not wish to be bound by the terms of the proposed Settlement described in this Notice, you may request to be excluded from the Settlement. To do so, you MUST send a written request for the exclusion to:

Compact Disc MAP Antitrust Litigation Administrator
Post Office Box 1643
Faribault, Minnesota 55021-1643

Your request for exclusion must be postmarked by or before March 3, 2003, must clearly state that you want to be excluded from the Settlement, and must provide your full, legal name(s), address, telephone number, and the name and number of this Litigation (In re: Compact Disc Minimum Advertised Price Antitrust Litigation, MDL Docket No. 1361). NO REQUEST FOR EXCLUSION WILL BE CONSIDERED VALID UNLESS ALL OF THE INFORMATION DESCRIBED ABOVE IS INCLUDED IN ANY SUCH REQUEST.