Microsoft Seeks Supreme Court Appeal in £270 Million Software License Case
Microsoft takes its final chance in a £270 million software license resale case.
1Case Overview
Microsoft is seeking permission to appeal to the UK Supreme Court after losing twice in the ValueLicensing case. The core issue revolves around whether businesses can legally resell unused software licenses. Microsoft argues that such resales violate copyright law.
2Court Decisions
The Competition Appeal Tribunal (CAT) and the Court of Appeal rejected Microsoft's arguments. The courts ruled that reselling software licenses does not infringe copyright. The Court of Appeal noted that Microsoft's approach would lead to 'odd results.'
3Events Triggering the Case
ValueLicensing sued Microsoft in 2021 for £270 million, claiming the company added contractual clauses to push customers toward Microsoft 365 subscriptions and blocked the resale of perpetual licenses.
4Key Details Influencing the Case
The courts highlighted the inconsistency of allowing CD-ROM software to be resold freely while restricting digital software. They also noted that adding 'some icons or clip art' to a program would not be sufficient to block secondhand software sales.
5Related Class Action
A class action represented by Alexander Wolfson bears similarities to this case and could result in a multibillion-pound payout. This lawsuit could further expose the legal vulnerability in Microsoft's licensing model.
6Potential Outcomes
If the Supreme Court refuses Microsoft's appeal or rules against the company, businesses across the UK and potentially Europe will be free to resell unused Microsoft licenses. This could significantly impact Microsoft's licensing revenue.
Original article: The Next Web — Microsoft, Yazılım Lisansı Davasında Yüksek Mahkemeye Başvuruyor