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America September 2, 2024 2 mins read

Microsoft Software Pricing Lawsuit Spurs Multibillion-Pound Class Action

America ı By Rihem Akkouche

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Microsoft Software Pricing Lawsuit

Microsoft is set to face a multibillion-pound class action lawsuit in the U.K., led by a former Crown Prosecution Service barrister, Alexander Wolfson. The lawsuit alleges that the tech giant illegally inflated the prices of software licenses, a move that could impact thousands of public and private organizations across the nation, according to lawyers representing the claimants.

Legal Action on Behalf of U.K. Organizations

Wolfson plans to file the collective proceedings in the Competition Appeal Tribunal, representing a wide range of organizations that purchased Microsoft software licenses, including those for Office and Windows. The legal team, spearheaded by Stewarts Law LLP, asserts that Microsoft breached competition law by overcharging for these licenses.

"This case could have a great impact on the fairness of the U.K.'s growing digital economy," said Kate Pollock of Stewarts Law LLP, who is representing Wolfson. "Almost all organizations in the U.K. rely on the use of computer software, and it would be impossible for those affected by this harm to take individual action over the inflated prices we believe they were forced to pay by Microsoft."

The Scope and Potential Impact of the Lawsuit

The class action lawsuit claims that Microsoft's actions have resulted in widespread overcharging, affecting any organization in the U.K. that purchased certain software licenses. While the specific details of the alleged breaches have not been disclosed, the case is being billed as one of the largest class actions ever brought in the U.K.

To move forward, Wolfson must obtain a Collective Proceedings Order from the tribunal, which will determine whether he is a suitable representative for the class and if the claims can proceed collectively.

Microsoft Software Pricing Lawsuit  : Microsoft's Ongoing Legal Challenges

Microsoft, headquartered in Redmond, Washington, did not immediately respond to a request for comment regarding the lawsuit. The tech giant is already embroiled in another legal battle in the U.K., where it is defending itself against a £270 million ($355 million) lawsuit brought by software reseller ValueLicensing. This case, also before the Competition Appeal Tribunal, alleges that Microsoft stifled the supply of pre-owned software licenses in the U.K. and the European Economic Area.

Wolfson, who practices at 1 High Pavement Chambers, is represented by counsel from Monckton Chambers and Matrix Chambers. His legal team includes Kate Pollock, Stuart Carson, and Marc Jones from Stewarts Law LLP.

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Rihem Akkouche

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