The Recording Industry Association of America (RIAA) has been spending millions in legal fees to recover relatively small amounts in damages, a financial report filed by the organisation revealed today.
According to data retrieved by the p2pnet blog, in 2008 RIAA spent a total of $16 million in lawyer's fees, but recovered just $391,000 in settlements.
The organisation paid $9,364,901 to Holmes Roberts & Owen, over $7,000,000 to Jenner & Block, and $1.25 million to Cravath Swain & Moore to pursue copyright infringement claims against music pirates.
In 2007 the organisation blew $24.5 million in lawsuits that recovered only $500,000, and in 2006 paid more than $19 million in fees to net $455,000 in settlements.
The financial reports also show that, despite the significant losses sustained by the RIAA, senior staff at the organisation still receive lavish salaries. The RIAA chief executive draws a salary of $2 million each year, and the average yearly salary of a top executive is $200,000.