NY court OKs lawsuit accusing record companies of scheming to boost Internet music prices

By AP
Wednesday, January 13, 2010

NY court OKs Internet music sales lawsuit

NEW YORK — A federal appeals court in New York has revived a lawsuit that accuses major record labels controlling 80 percent of U.S. digital music sales of scheming to charge high prices.

The lawsuit brought by music purchasers had been tossed out by a lower court judge.

The 2nd U.S. Circuit Court of Appeals in Manhattan said Wednesday that the lawsuit can proceed. It said there are enough facts to consider the claims.

The New York legal action combined lawsuits brought across the country. They accused record companies of conspiring to charge at least 70 cents a song on the Internet, even though their costs were much lower than in record stores.

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