BMG Agrees to Settlement in Class Action Lawsuit

Nicole King
Tampa, FL, July 16 (AHN) – One of the world’s largest distributors of music CD’s and cassettes has agreed to a multi-million dollar settlement with its customers.

BMG Music Club agreed to an $8 million settlement of a class action lawsuit. The company is owned by German media company, Bertelsmann Inc.

The lawsuit accused BMG of using deceptive, misleading and unfair marketing and sales techiniques pertaining to shipping and handling charges and advertised costs.

The settlement is available to customers, present and past, who bought music between June 14, 1998, and May 15, 2006. They will receive vouchers for free CD’s and cassettes up to 80 percent off the advertised cost and free shipping.

The vouchers will be good for one year.