For those that are interested in such things, $71.50 in today's money is over $700.00. Just for comparison, that was the same basic price as a Rolex. (Rolex prices have become insanely inflated since then)
This was and still is an excellent quality watch, with its 21 jewel, Breguet Hairspring movt, and would have represented a 'serious' purchase for someone who valued quality.
The lawsuit story has since been disproved, Bulova manufactured AA watches through 1954, and ads exist that confirm this to 1953. Dealers continued to advertise and sell Academy Award watches until 1960 when stock was exhausted. What is unknown is what year Bulova stopped selling the popular watches.
The original lawsuit was a spurious one levelled against Bulova, not by AMPAS, but by an upstart company called 'Champion Play Corporation', which in 1946 changed its name to 'Academy Award Products, Inc.' In 1950 they filed a suit against Bulova for infringement of copyright, based on 17 applications they made to use the terms 'Academy Award' for products like Watches and clocks that they did not even sell. The copyright was cancelled by the Patent Office following the filing of the lawsuit, stating that Champion had falsely obtained them. The suit against Bulova was dismissed, and Bulova sued for damages which were awarded in 1955.
Wording on the actual Bulova ads was tweaked in 1952 following an FTC agreement with AMPAS that stated Bulova was required to state that the Academy Award name and 'Oscar' was being used by permission and under license. As long as they adhered to the requirement, at no time was Bulova ever prohibited from using the copyrighted terms, nor was the agreement cancelled between Bulova and AMPAS. The actual wording of the contract stated that Bulova would have to 'Cease and Desist' unless they used the approved wording. Bulova complied, and nothing more came of it.
I believe we have discussed this elsewhere in the threads on other AA models.