Arbitrator orders Viacom to pay Harmonix $383 million

In our last update from the epic legal battle between Viacom and Harmonix, Viacom was suing Harmonix for about $131 million. That was based on miscalculated earn-out payments during the 2006 acquisition of Harmonix by Viacom.

Now it appears the tables have turned — Again! A private arbitrator has told Viacom it must pay Harmonix’s former shareholders $383 million, presumably for the mismanagement of profits for which Harmonix shareholders were seeking reparations for in the first place.

It’s not a complete loss for Viacom — Harmonix was trying to get as much as $700 million — but it’s still not happy about the decision. To appeal, Viacom has filed a suit with the Delaware Court of Chancery to try to avoid the arbitrator’s decision.

We’ll update you if this turns out not to be the end of the legal tussle.