Sony BMG to Pay in Texas and California

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Sony BMG Music Entertainment will pay one and one-half (m) million dollars and kick in potentially thousands more in customer refunds to settle lawsuits brought by California and Texas over CD's with built-in anti-piracy software.

The settlements announced Tuesday pertain to lawsuits over CD's loaded with one of two types of copy-protection software -- MediaMax or XCP.

Under the terms of the separate settlements, each state will receive 750-thousand dollars in civil penalties and costs.

In addition, Sony BMG agreed to reimburse consumers whose computers were damaged while trying to uninstall the XCP software. Customers in both states can file a claim to receive between 25- to 175-dollars in refunds.

All claims must be approved by Sony BMG.