Microsoft blow in private antitrust case
Published: 28 Oct 2002 10:08 GMT
In what could be a legal blow to Microsoft, a federal judge has signaled that antitrust plaintiffs who filed recent private lawsuits against the software giant might be able to use findings from the government's earlier case, according to published reports.
The comments by US District Judge Frederick Motz in Baltimore were made during a one-day hearing on a motion by plaintiffs Thursday. The plaintiffs -- including number of software makers -- asked that they be allowed to base their lawsuits on the antitrust violations that were established in the Justice Department's long-running case against Microsoft.
A settlement in that case is pending in a separate federal courtroom, as is related litigation led by a number of state attorneys general.
Motz said that AOL Time Warner's Netscape division, Sun Microsystems, Be and Burst.com would not have "a hard case to prove" if he were to grant the motion, according to reports in The Wall Street Journal and the Seattle Post-Intelligencer.
The motion, in effect, would rule out having to start the latest round of antitrust litigation from the very beginning. The judge, however, did not specify which prior facts determined by US District Judge Thomas Penfield Jackson would be applied to the cases brought by more than 60 private plaintiffs.
"Do I have to sit here and listen to all the facts again?" Motz asked, according to the reports. "(Judge Jackson) found that Microsoft did some pretty bad things."
In April 2000, Jackson ruled that the software giant violated antitrust laws by exploiting its operating system monopoly to dominate the market for Web browsers, where Netscape had held a leading position. A federal appeals court a year later vacated Jackson's order calling for the breakup of Microsoft but upheld the monopoly ruling.
Microsoft, however, said that many of the facts were voided by the appeals court ruling when it narrowed the company's antitrust liability.
"The question is how and to what extent it is proper to extend the findings of the DOJ case to cases brought by other parties, covering different markets, different claims, different time periods," said Jim Desler, a Microsoft spokesman.
Relying largely on Jackson's findings, Netscape sued Microsoft in January. Sun filed suit in March, in part over Microsoft's handling of Sun's Java software, and is seeking damages that could reach more than $1bn. Burst, meanwhile, has accused the software giant of bullying and theft.
Several private class-action lawsuits also have been filed.
Motz did not set a date for when he would rule on the motion. While the trial for the class-action suits is set for sometime in April, no dates have been set for the software makers' lawsuits.
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