Today's Music News
CD Wow to pay millions
UK Recording Industry gets damages29 May 07 - Online retailer CD-Wow has been ordered to pay £41m to British record companies after breaking a deal to stop selling illegally imported cheap albums in the UK.
Back in March the company The High Court in London ruled that the site's owners, Music Trading Online, were "in substantial breach" of a 2004 agreement to stop importing CDs.
It has now ordered Hong Kong-based CD-Wow to pay £37m plus interest to the British Phonographic Industry (BPI).
Matt Phillips from the BPI told 6 Music that the case would send a message to other retailers thinking of breaking the law to make profits:
“I think this is huge, I mean if you look over the past ten years, an increasing number of CD sales have moved to online retailers, so if anyone thought this was a legitimate loophole that could be exploited I think they are mistaken.”
CD-Wow says it will continue to sell cheap CDs and may appeal the ruling.