The Orchard received a default judgment of $1.77 against Imeem, the now defunct social media service where users interacted with each other by streaming, uploading and sharing music and music videos. Imeem has since been shut down now that MySpace has acquired the service.

The decision was issued ahead of the Christmas week by U.S. District Court Judge Denny Chin.  The question of who pays remains, as sources close to the situation note that the non-acquired remnants of Imeem are in the hands of foreclosing creditors with MySpace gathering the more desirable assets.

The lawsuit predates the acquisition and it is believed The Orchard is wary of damaging its current MySpace relationship by litigating further.