Lady Gaga agreed to settle a federal lawsuit filed by a Michigan based law firm. Gaga was accused that she profited from selling charity wristbands designed to raise money for victims of the Japan earthquake and tsunami.
Gaga's website was selling $5 bracelets printed with 'We Pray For Japan' and also allowed people to make additional donations. The campaign said "all proceeds go directly to Japan relief efforts." She raised $1.5 million for the victims in Japan according to Japan Daily Press.
The lawsuit claims that the singer overcharged $4 of sales taxes and shipping costs, creating additional funds that were not donated.
The Detroit News reported that Gaga decided to pay $107,500 to a charity benefitting victims under the settlement. Gaga and her co-defendants also denied the suit has any credit.
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