Howard Stern Lawsuit Dismissed: What This Means For The Shock Jock

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Howard Stern
Howard Stern's lawsuit against satellite radio provider, SiriusXM, has been thrown out. The case was dismissed after Judge Barbara Kapnick ruled that Stern's contract only included awards for Sirius subscribers, not those of XM.

Howard Stern's lawsuit against his employer, SiriusXM, has been dismissed.

The famed shock jock was seeking $300 million from the satellite radio provider, claiming that subscribers he attracted to both the XM and Sirius divisions contributed to his performance-based stock awards.

The dismissal came after Judge Barbara Kapnick ruled that Howard Stern's contract only included awards for Sirius subscribers, not those of XM.

While it may be true that Stern and Buchwald hoped and expected to reap the benefits from any significant growth that Sirius experienced after they entered into the agreement, that subjective expectation cannot suffice to override the clear, unambiguous language of the agreement, Kapnick wrote.

It was later revealed that stern fell short of the number of listeners the contract required him to bring in and therefore is not entitled to the stock awards.

Howard Stern's lawsuit asked for a total of $300 million for the 58-year-old enterntainer -- a specified grand total amount of four stock awards valued at $75 million each.

The amount is historically large in comparison to even some of the bonuses seen on Wall Street.

Last year, JPMorgan Chase CEO Jamie Dimon took home $17 million worth of stock and other options, while his Goldman Sachs counterpart Lloyd Blankfein received $10.7 million in stock awards, according to the Huffington Post

Unfortunately for Stern, the case is closed and cannot be opened again.

While Kapnick issued her decision on Monday, the judge dismissed the lawsuit with prejudice, meaning Stern cannot bring it again.

As Howard Stern's lawyer -- Seth Rothman -- did not make a statement or even a brief comment after the hearing, Stern was really bummed about the ruling, according to a message posted on the Twitter feed for The Howard Stern Show.

Howard is really bummed that a judge has dismissed his lawsuit against Sirius. He plans on appealing, the show Tweeted

Stern, while being bummed, had already received a $75 million US stock bonus for exceeding the 2006 subscriber estimate by more than 2 million subscribers. He was awarded $25 million US when Sirius combined with XM, in order to enable Stern's show to be broadcast to XM listeners as well.

Stern moved his infamous radio show to Sirius on Jan. 9, 2006 and renewed his contract for five years in December 2010, only to file his lawsuit three months later.

The 5-year contract with Sirius XM keeps Stern with the company through 2015.

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