pleading standard

Court Dismisses Allegations of Digital Music Conspiracy as Implausible

On October 9, 2008, a federal district court in New York dismissed a class action complaint brought by consumers against major record companies for alleged violations of Section 1 of the Sherman Antitrust Act and various state laws in conspiring to fix prices of digital music, both in CD format and Internet downloads. Applying the new standard articulated by the Supreme Court in the antitrust case of Bell Atlantic v. Twombly, 127 S.Ct. 1955 (2007), the district court found that the plaintiffs failed to allege facts demonstrating that a conspiracy among the defendants, which included Sony, Capitol, EMI, Virgin, and Time Warner, was sufficiently plausible to survive a motion to dismiss.

Published in Tuesday, November 11, 2008, Volume 6, No. 2
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