A lawsuit that could have set a dangerous precedent for WWE was officially dismissed yesterday. The lawsuit in question is the one that Marcus Bagwell and Scott Levy, otherwise known as Raven, brought against WWE over royalties from their image and likeness on the WWE Network.
The duo alleged that WWE breached their contract agreements by not paying them royalties for shows that streamed on the WWE Network which included both of them. Currently, WWE does not pay out any royalties to past or present Superstars for streams on the WWE Network. WWE argued that the WWE Network service is different from that of home video sales (DVDs), and while they do pay out royalties for DVDs, the Network is an online streaming service so there’s no physical sale.
The lawsuit was dismissed with prejudice and Bagwell and Levy cannot sue WWE again over the same subject. It is believed that all parties involved reached an out-of-court settlement, which is confidential.