Vidalia, the parent company of Vidia and the News24 news platform, has been ordered to pay $10,000 in damages for breach of contract and unfair competition by a US federal court.
The Federal Trade Commission (FTC) said that Vidalia violated the Fair Trade Act by failing to comply with a 2014 US ruling that Vidia must pay $50,000 to the California-based company for the right to broadcast its content in its native state of Argentina.
In a court filing, the FTC said Vidalia failed to show it could have taken the money to make a reasonable effort to stop the video-streaming site from continuing.
The company said that if it did, it could not have avoided the lawsuit and was therefore entitled to the $10 to $50 payment.
The FTC said it would have found Vidalia in contempt of court if it had not appealed to the Federal Circuit Court of Appeals.
Vidalia said in a statement that it was pleased with the decision, which came after a trial that lasted three weeks and included oral arguments in San Francisco, San Diego and Santa Clara Counties.
Vivian Gonzalez, chief financial officer of Vidalia and the company’s chairman, said in the statement that the case was about “the value of our technology, the quality of our content and the value of consumers’.”
The decision was made to hold Vidalia accountable and protect the rights of consumers, and to provide our users with an efficient, effective and affordable news experience,” she said.
Vladimir Vasilyev, a lawyer representing the company, said the decision was the right one.”
Vidia has taken a strong position on its own rights, the value and value of its platform, and the rights it has granted to its customers,” he said.”
This is about the future of the internet as a whole, and how it can grow and flourish without the use of coercive monopolies.
“Vidias decision comes just months after the Federal Communications Commission (FCC) ordered the company to pay a $6.5m settlement for violating the Fair Tariff Act of 1930 by refusing to carry US-based cable-TV services.
Vias move to take the case is the latest in a series of cases involving Vidia.
In January, the company settled a complaint with the US Department of Justice for $1.2m after it failed to comply, and in May, it agreed to pay more than $1bn to settle an antitrust lawsuit brought by the Federal Trade Commision (FCC) against it.
Vids legal team will argue in court on Tuesday that the settlement amounts to an improper use of its dominant position in the US video market, in violation of the FTC’s settlement agreement.