A class action lawsuit involving iTunes customers purchasing iTunes songs for $1.29 using gift cards which advertised songs for $0.99 has now been settled, according to an announcement from Kurtzman Carson Consultants, with each member of the class eligible to receive $3.25 in iTunes Store credit.

The lawsuit centered around gift card packaging advertising $0.99 song purchases through iTunes. The gift cards were sold during a period when Apple was transitioning their pricing to $1.29 for “iTunes plus” DMR-free songs, leading some consumers to become confused, believing that all songs on the iTunes Store would be available for $0.99.

A lawsuit resulting from this confusion was filed by Gabriel Johnson in July 2009, which became a class action suit shortly thereafter. The lawsuit was settled outside of court to avoid further expenses for both parties.

In order to receive the credit, claimants must have purchased songs priced at $1.29 on or before May 10, 2010, with an iTunes gift card that said songs from the online store were $0.99. Instructions on how to file a claim can be found at Kurtzman Carson Consultants.