The Romantics sued Activision last month alleging their song What I Like About You was infringed on in Guitar Hero Encore: Rocks the 80s, not because they didn’t have permission to use it but because it sounded too much like them.
A judge has denied this lawsuit, saying that Activision acted according to what the agreement allowed them to do. Hopefully The Romantics will take the hint and not continue to clog up the courts with this frivolous lawsuit by appealing.
Guitarhero is right, they do have the permission to take that song.