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Thread: SiriusXM Faces Antitrust Lawsuit

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  1. #1
    Sirius Roadkill is offline
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    SiriusXM Faces Antitrust Lawsuit

    By Chad Bray
    Of DOW JONES NEWSWIRES
    NEW YORK (Dow Jones)--A subscriber filed an antitrust lawsuit against Sirius XM Radio Inc. (SIRI) on Monday, alleging the merger of Sirius and XM last year created an abusive monopoly that has raised prices "above competitive levels."

    The lawsuit, filed in U.S. District Court in Manhattan on Monday, alleges the combined company has raised its prices and failed to increase consumer program choices despite its commitments to regulators before the merger was approved.

    "The company's illegal and deceptive conduct has harmed competition and injured customers in the (satellite digital audio radio service) market in the United States," the complaint said.

    The lawsuit claims Sirius XM committed to the Federal Communications Commission not to raise prices of its basic package for 36 months after the merger was completed.

    Instead, Sirius XM has used its monopoly power to raise fees not governed by the FCC's order, such as the fee for multi-radio subscribers, according to the complaint. The lawsuit claims a multi-radio subscriber with one additional radio has seen their subscription fees increase by 40% since the merger.

    The complaint, which is seeking class-action status, was filed on behalf of Carl Blessing, a Florida resident and Sirius XM subscriber, by law firms Grant & Eisenhofer PA in New York and Cook, Hall & Lampros LLP in Atlanta.

    The lawsuit claims Sirius XM violated federal antitrust laws and state consumer protection statutes.

    A Sirius XM spokesman didn't immediately return a phone call seeking comment late Monday.

    -By Chad Bray, Dow Jones Newswires; 212-227-2017; chad.bray@dowjones.com

  2. #2
    Noob is offline
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    Perhaps if this lawsuit is granted class action status, the upper brass will find it necessary to improve customer service and fire all the bad apples at Sirius who behave in a very beligerant and inappropriate mannter.

  3. #3
    Sirius Roadkill is offline
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    Quote Originally Posted by Noob View Post
    Perhaps if this lawsuit is granted class action status, the upper brass will find it necessary to improve customer service and fire all the bad apples at Sirius who behave in a very beligerant and inappropriate mannter.
    specifically and legally, as to this lawsuit only, the case is baseless, frivolous and without merit imo . .

    If Mel wants to serve shareholders best interests . . . Donnelly should be instructed to seek recovery of all SiriusXM legal fees in this sham case under the "Frivolous Claims Statute"

    "In the United States, Rule 11 of the Federal Rules of Civil Procedure and similar state rules require that an attorney perform a due diligence investigation concerning the factual basis for any claim or defense. Jurisdictions differ on whether a claim or defense can be frivolous if the attorney acted in good faith. Because such a defense or claim wastes the court's and the other parties' time, resources and legal fees, sanctions may be imposed by a court upon the party or the lawyer who presents the frivolous defense or claim. The law firm may also be sanctioned, or even held in contempt."

    ok, now go ahead-go ahead . . . all the lawyers reading this and tell me why I am soooo wrong because god forbid one of the brethren in your fraternity should have to lose a fee for wasting everybody's time . .

    don't make me dig up dirt on this plaintiff

    now as to Siri's legitimate customer service issues . . . no excuse . . problems should be cleaned up . . the buck stops with Mel . . contact SiriusXM directly and complain loudly as you would do with any other large corporation whose product or customer service has failed you . . . but that is not grounds for a baseless legal claim

    motion for summary judgment Donnelly . . . don't milk this friggin thing to death . . you'll still get your hours
    Last edited by Sirius Roadkill; 12-09-2009 at 02:18 PM.

  4. #4
    Sirius Roadkill is offline
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    Lets run some due diligence on this Plaintiff!!

    Florida customer sues Sirius XM Radio on pricing
    Mon Dec 7, 2009 6:54pm ESTStocks
    Sirius XM Radio Inc.
    SIRI.O
    $0.62
    -0.01-2.24%
    12:55pm EST

    * Satellite radio accused of deception

    * Customer seeks class action status and damages

    NEW YORK, Dec 7 (Reuters) - A customer of Sirius XM Radio Inc (SIRI.O) sued the U.S. satellite radio company on Monday, saying it deceptively increased prices in breach of subscriber contracts.

    The lawsuit, filed in Manhattan federal court, said that since a July 2008 merger of Sirius and rival XM Satellite Radio, the only two satellite radio providers in the United States, monthly charges had risen by nearly 30 percent for certain subscribers with multiple accounts.

    "Since the merger, Sirius XM has abused its monopoly power by increasing prices above competitive levels, breaching subscriber contracts, and making false and misleading statements to subscribers and the public," said the complaint by Carl Blessing, a resident of Florida, who is seeking class action status and unspecified damages.

    A representative of Sirius could not immediately be reached for comment.

    Sirius has left its core rate of about $13 a month unchanged, a condition to which Sirius and XM agreed with federal regulators in order to close their merger.

    In March it increased its fee for users with additional subscriptions to $8.99 per radio per month from $6.99 per month. It also started charging for access to Sirius XM content over the Internet, which previously had been free to subscribers.

    The lawsuit said that although the Federal Communications Commission approved the merger and acknowledged the monopoly, the company was bound to comply with competitive pricing and other commitments favorable to the consumer.

    It also cited an increase to 28 percent from 10 percent in a "U.S. music royalty fee" for musicians, record companies and music publishers.

    The lawsuit argued that a subscriber with one additional radio who had previously had free Internet access was now paying $27.88 per month compared with $19.94 per month, an increase of 40 percent.

    The case is Carl Blessing v Sirius XM Radio, U.S. District Court for the Southern District of New York, No. 09-10035. (Reporting by Grant McCool and Franklin Paul; Editing by Steve Orlofsky)

  5. #5
    Sirius Roadkill is offline
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    Who is Carl Blessing?

    Blessing v. Sirius XM Radio Inc.
    Plaintiff: Carl Blessing
    Defendant: Sirius XM Radio Inc.

    Case Number: 1:2009cv10035
    Filed: December 7, 2009

    Court: New York Southern District Court
    Office: Foley Square Office [ Court Info ]
    County: NewYork
    Presiding Judge: Judge Harold Baer

    Nature of Suit: Other Statutes - Antitrust
    Cause: 15:2 Antitrust Litigation
    Jurisdiction: Federal Question
    Jury Demanded By: Plaintiff

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    Russell v. Potter et al
    Plaintiff: Sarah Russell
    Defendant: John E. Potter, Yolanda Ambrose and Carl Blessing

    Case Number: 1:2008cv20975
    Filed: April 25, 2008

    Court: Florida Southern District Court
    Office: Miami Office [ Court Info ]
    County: Miami-Dade
    Presiding Judge: Judge Alan S. Gold

    Nature of Suit: Civil Rights - Employment
    Cause: 42:2000e Job Discrimination (Employment)
    Jurisdiction: U.S. Government Defendant
    Jury Demanded By: Plaintiff

  7. #7
    Noob is offline
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    Quote Originally Posted by Sirius Roadkill View Post
    specifically and legally, as to this lawsuit only, the case is baseless, frivolous and without merit imo .
    What if Carl ends up on Larry King or some other media show? If nothing else, this would be his 15 minutes of fame.

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