MSFT: Microsoft and Plaintiffs Resolve Iowa Class Action Lawsuit

Class counsel and Microsoft jointly announced that a settlement has been reached in a class action lawsuit that alleged violations of the Iowa Competition Law.

The terms of the settlement are not being disclosed pending preliminary court approval, which is expected in April. The settlement concludes the seven-year case and will provide compensation to individuals and businesses that purchased specified operating system and application software including Word, Excel and Office from May 18, 1994, through June 30, 2006. Details for making claims will be announced this spring.

“We are confident that the settlement is in the best interests of all members of the class and we are deeply grateful for the quality and fairness of the judicial process in Iowa,” said Roxanne Conlin, lead counsel for the class.

“The settlement will provide tremendous benefits for many people throughout the state of Iowa. We are pleased with the results of this litigation and we are pleased that the process worked so well,” Rick Hagstrom, class co-counsel of the firm Zelle Hofmann Voelbel Mason & Gette.

Under the settlement, Microsoft will provide half of any unclaimed proceeds to the Iowa Department of Education to bridge the digital and technical divide in Iowa schools through the purchase of computer hardware and software.

“One of the best aspects of resolving this case is that we can provide much needed resources to underprivileged schools,” said Rich Wallis, associate general counsel for Microsoft. “We’re happy to have this matter behind us so we can focus on the future and build the next generation of products and innovations that enrich the lives of people around the world.”

The Court will consider the joint motion for preliminary approval of the settlement on April 20, 2007. Purchases of Microsoft operating systems covered by this settlement include MS-DOS, Windows 95, Windows 98, Windows 98 Second Edition, Windows Millennium Edition, Windows for Workgroups, Windows NT Workstation, Windows 2000, and Windows XP. Microsoft applications in this settlement mean Word, Excel and Office versions designed for computers with the above MS DOS or Windows operating systems.