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Old 08-24-2006, 07:17 PM   #10
glatt
 
Join Date: Jul 2003
Location: Arlington, VA
Posts: 27,717
Quote:
Originally Posted by headsplice
Does anyone else think it's an odd business tactic to sue the crap out of your customer base?
It works. I was just reading about this. They are getting a positive cash flow from their legal department. They file so many of these lawsuits that they have figured out the boilerplate forms and strategies to use. There's an economy of scale that their adversaries don't have. If you are sued by them, it's cheaper to settle than to defend yourself, even if you are certain to win. So most people settle. They are making money at this. In fact, as record and CD sales decline, this may be the only business model they will have left.
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