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Audiogalaxy settles out of court

by Chris Lee in Melbourne

18 Jun 2002

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Online file-swapping site Audiogalaxy.com has sought an early settlement in its legal battle with groups representing the US music industry.

The music file swap-shop, which had seen a massive traffic increase since the closure of Napster last summer, was taken to court in late May by the Recording Industry Association of America (RIAA) for encouraging online trade in copyrighted music.

Yesterday it emerged that Audiogalaxy had agreed to pay music publishers and recording houses a "substantial sum" and promised to install filters on its site to allow only consented material.

The exact terms of the settlement are unclear, but the RIAA said that it did not need court approval.

The RIAA also said that the deal should act as a "wake-up call" to other sites facilitating copyright abuse.

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