Dish gets $97 million judgement

**Scott Greczkowski** · #1 (**permalink**) 08-25-2009, 06:32 PM

DISH NETWORK, ECHOSTAR AND NAGRASTAR RECEIVE $97 MILLION CONSENT JUDGMENT AGAINST FREETECH

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ENGLEWOOD, Colo. – Aug. 25, 2009 – Satellite TV provider DISH Network L.L.C., a subsidiary of DISH Network Corporation (NASDAQ: DISH), equipment supplier EchoStar Technologies L.L.C., a subsidiary of EchoStar Corporation (NASDAQ: SATS), and conditional access provider NagraStar L.L.C. announced today a significant victory in the fight against satellite television piracy.
On Aug. 19, 2009, the United States District Court for the Northern District of California entered a $97 million consent judgment and permanent injunction against Freetech, Inc., in a lawsuit accusing Freetech of selling Coolsat-branded devices used to pirate DISH Network’s pay-television system.*Judgment was also entered against three of Freetech’s corporate officers/owners in the aggregate amount of $9 million.
Freetech separately agreed to forfeit all of its liquid assets and inventory to DISH Network, to close down its business operations worldwide, to dissolve Freetech, and to never own, operate, participate in or benefit from any business trafficking in devices or technology that assists in the piracy of DISH Network programming or any other programming protected by NagraStar or its affiliates’ security systems (the corporate officers and owners also agreed to such restrictions).*If the defendants do not comply with those restrictions, plaintiffs will be able to immediately seek enforcement of the full judgment amount.*As part of the settlement, defendants also agreed to pay plaintiffs an undisclosed amount.*
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About DISH Network L.L.C.
DISH Network L.L.C., the nation’s HD leader, provides approximately 13.610 million satellite TV customers as of June 30, 2009 with the highest quality programming and technology at the best value, including the lowest all-digital price nationwide. Customers have access to hundreds of video and audio channels, the most HD channels, the most international channels, state-of-the-art interactive TV applications, and award-winning HD and DVR technology including 1080p Video on Demand and the ViP® 722 HD DVR, a CNET and PC Magazine “Editors’ Choice.” Visit Satellite Television - DISH Network - 1.888.825.2557.
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About EchoStar Technologies L.L.C.
EchoStar Technologies L.L.C. has 25 years of experience designing, developing and distributing advanced award-winning set-top boxes and related products for pay television providers. *Visit Echostar.com for more information.
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About NagraStar
NagraStar L.L.C. is a joint-venture between EchoStar Corporation (SATS) and the Kudelski Group (KUD.VX).* NagraStar supplies conditional access systems and security access devices and services to DISH Network and Bell ExpressVu Limited Partnership (operating as Bell TV).* NagraStar also offers these partners direct support, maintenance, security field investigations and implementation of new solutions in response to the rapid evolutions of the pay TV market.
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Media Contacts
Kathie Gonzalez, DISH Network, 720.514.5351, press@dishnetwork.com
Marc Lumpkin, EchoStar, 303.706.5236, marc.lumpkin@echostar.com
Teresa Barnhart, Nagrastar, 303.706.5735, teresa.barnhart@nagrastar.com
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*DISH NETWORK, ECHOSTAR AND NAGRASTAR RECEIVE $97 MILLION CONSENT JUDGMENT AGAINST FREETECH

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ENGLEWOOD, Colo. – Aug. 25, 2009 – Satellite TV provider DISH Network L.L.C., a subsidiary of DISH Network Corporation (NASDAQ: DISH), equipment supplier EchoStar Technologies L.L.C., a subsidiary of EchoStar Corporation (NASDAQ: SATS), and conditional access provider NagraStar L.L.C. announced today a significant victory in the fight against satellite television piracy.
On Aug. 19, 2009, the United States District Court for the Northern District of California entered a $97 million consent judgment and permanent injunction against Freetech, Inc., in a lawsuit accusing Freetech of selling Coolsat-branded devices used to pirate DISH Network’s pay-television system.*Judgment was also entered against three of Freetech’s corporate officers/owners in the aggregate amount of $9 million.
Freetech separately agreed to forfeit all of its liquid assets and inventory to DISH Network, to close down its business operations worldwide, to dissolve Freetech, and to never own, operate, participate in or benefit from any business trafficking in devices or technology that assists in the piracy of DISH Network programming or any other programming protected by NagraStar or its affiliates’ security systems (the corporate officers and owners also agreed to such restrictions).*If the defendants do not comply with those restrictions, plaintiffs will be able to immediately seek enforcement of the full judgment amount.*As part of the settlement, defendants also agreed to pay plaintiffs an undisclosed amount.*
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#* #* #
*
About DISH Network L.L.C.
DISH Network L.L.C., the nation’s HD leader, provides approximately 13.610 million satellite TV customers as of June 30, 2009 with the highest quality programming and technology at the best value, including the lowest all-digital price nationwide. Customers have access to hundreds of video and audio channels, the most HD channels, the most international channels, state-of-the-art interactive TV applications, and award-winning HD and DVR technology including 1080p Video on Demand and the ViP® 722 HD DVR, a CNET and PC Magazine “Editors’ Choice.” Visit Satellite Television - DISH Network - 1.888.825.2557.
*
About EchoStar Technologies L.L.C.
EchoStar Technologies L.L.C. has 25 years of experience designing, developing and distributing advanced award-winning set-top boxes and related products for pay television providers. *Visit Echostar.com for more information.
*
About NagraStar
NagraStar L.L.C. is a joint-venture between EchoStar Corporation (SATS) and the Kudelski Group (KUD.VX).* NagraStar supplies conditional access systems and security access devices and services to DISH Network and Bell ExpressVu Limited Partnership (operating as Bell TV).* NagraStar also offers these partners direct support, maintenance, security field investigations and implementation of new solutions in response to the rapid evolutions of the pay TV market.
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Media Contacts
Kathie Gonzalez, DISH Network, 720.514.5351, press@dishnetwork.com
Marc Lumpkin, EchoStar, 303.706.5236, marc.lumpkin@echostar.com
Teresa Barnhart, Nagrastar, 303.706.5735, teresa.barnhart@nagrastar.com
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Hemi 6.1 · #2 (**permalink**) 08-25-2009, 06:42 PM

WOW! Nice!

--sexy-warlock-- · #3 (**permalink**) 08-25-2009, 06:54 PM

Should help pay for the Tivo lawsuit.

teachsac · #4 (**permalink**) 08-25-2009, 07:13 PM

Yeap. That's what I was thinking.

S~

riffjim4069 · #5 (**permalink**) 08-25-2009, 07:22 PM

Quote:

Originally Posted by --sexy-warlock--

Should help pay for the Tivo lawsuit.

...yes, and perhaps a small down payment should VOOM win their lawsuit next year. Regardless, I cannot stand thieves (they gave true FTA'ers a bad name) and it sounds like FreeTech got what they deserved.

riffjim4069 · #6 (**permalink**) 08-25-2009, 07:26 PM

Wow! I just noticed the judgment was issued on Aug 19th...why did it take so long for Dish Network to issue a press release?

ehren · #7 (**permalink**) 08-25-2009, 08:19 PM

use some of the $$$ for better HD PQ.

**Scott Greczkowski** · #8 (**permalink**) 08-25-2009, 08:21 PM

Quote:

Originally Posted by riffjim4069

Wow! I just noticed the judgment was issued on Aug 19th...why did it take so long for Dish Network to issue a press release?

They needed the money to buy new Typewriters. Next lawsuit victory and they are considering buying real PC's!

mike123abc · #9 (**permalink**) 08-26-2009, 12:11 AM

Remember the headline says $97 million, how much is the operations worth. Dish may collect less than a million. Essentially the company just threw the keys to Dish and said it is now yours. Dish just got the assets of the company, since that was all the company had to pay the $97 million judgement.

DishSubLA · #10 (**permalink**) 08-26-2009, 05:11 AM

Quote:

Originally Posted by mike123abc

Remember the headline says $97 million, how much is the operations worth. Dish may collect less than a million. Essentially the company just threw the keys to Dish and said it is now yours. Dish just got the assets of the company, since that was all the company had to pay the $97 million judgement.

It doesn't matter. It really was not about getting cash. What Charlie really wanted was for Freetech to be vanquished and for this judgment to serve as a warning to any other companies who may be thinking of providing the means for people to obtain Dish Network services illegally. He just wants the practice stopped, so the money doesn't bleed out.

Do any of you remember back on 2002 or there abouts when Charlie publically accused Direct TV of deliberately being slow to address and fix its pirating problem in order to hurt Dish? I loved the days when Charlie would shoot from the lip. Personally, I think Charlie was right. Soon after, Direct TV did finally move to do an access card swap, but, man, there really were slow to get there after years of what looked like a tolerance of pirating.