BPI bests CD Wow in 'grey imports' row

The legal battle between music industry body the BPI and CD Wow over 'grey imports' ended at the High Court today with the e-tailer convicted of copyright infringement.

The pair have been facing off across a courtroom for some years after the BPI (British Phonographic Industry) accused CD Wow of parallel importing, or reselling CDs meant for the Asian market in the UK.

CD Wow admitted there had been some Asian CDs resold to British customers but said the number was very small and was a result of human error rather than a deliberate practice of grey importing.

The High Court today also declared the e-tailer to be in contempt of court after it was found to have broken an earlier out of court settlement with the BPI.

CD Wow will now have to make a £150,000 contribution towards the BPI's legal costs. A final settlement covering fines, costs and damages will be worked out at a hearing in July.

BPI general counsel Roz Groome said in a statement: "This judgment confirms that CD Wow have not only consistently flouted the law in their business practices but have flagrantly ignored the undertakings that they themselves gave to the Court that they would trade legally."

Henrik Wesslen, co-founder of CD Wow, said in a statement the sentence was harsher than the company had hoped for and that it will continue the fight with the BPI.