Microsoft to pay Iowa consumers $180m
Microsoft Corp. will pay as much as $179.95 million to Iowa consumers who claimed that they were overcharged for software since 1994.
The settlement, to be paid in cash and vouchers, was made public yesterday in a 15-minute hearing in state court in Des Moines. Microsoft and lawyers for the consumers didn't disclose terms of the accord when it was first revealed during trial in February. The statewide class of consumers claimed Microsoft used its monopoly position to overcharge for products including Windows and Word.
"We think this is a very generous settlement" said Roxanne Conlin, one of the lead lawyers for the consumers, by telephone.
Iowa Judge Scott Rosenberg gave the settlement preliminary approval yesterday. If given final approval, the settlement will resolve one of the last remaining private antitrust cases filed against Microsoft. Iowa customers claimed $329 million in damages, which could have been tripled under Iowa law.
The settlement is the largest, per customer, of any of the similar cases Microsoft has settled, said Conlin. When the Des Moines trial started in December, Microsoft had settled private antitrust suits in 18 states and the District of Columbia.
"This case concerned issues that have long since been resolved, and we're very pleased to put this chapter behind us and to focus on the future," Microsoft lawyer Richard Wallis said.
Under the settlement, Microsoft will pay consumers and businesses that purchased Microsoft operating systems and applications software between May 18, 1994, and June 30, 2006. 