MS Files Suit Against Software Pirates
By Ed Oswald | Published June 15, 2005, 11:49 AM
Microsoft took action on Wednesday by filing four lawsuits against companies in Virginia and California, alleging that the companies were engaging in the sale of pirated copies of Microsoft software. The company was tipped off by calls from consumers to its piracy hotline, 1-800-RU-LEGIT.
Microsoft identified the companies as #9 Software, who had 112 complaints across 35 states and Canada, CEO Microsystems with 66 complaints in 20 states, and Super Supplier, with 18 complaints from people in 13 states.
"We have an obligation to protect consumers and legitimate resellers," Mary Jo Schrade, senior attorney at Microsoft said in prepared remarks. "In filing these lawsuits, we hope to curb the amount of pirated and counterfeit software on the market and keep illegal software from finding its way into the hands of unknowing consumers and businesses."
According to Microsoft, the companies named in the lawsuits were warned that their actions were breaking the law and were given an opportunity to rectify the situation. However, the companies ignored Microsoft's requests and continued to sell unauthorized copies of its software.
"We'll continue to do what we can to educate our channel partners and consumers about the risk associated with selling, buying or using pirated and counterfeit items," Schrade said. "As a last resort, we'll take legal action to help ensure that software identified as Microsoft software actually is genuine, legitimate software."
Also named in the lawsuits alleging copyright and trademark infringement were Winston Group, Inc. and East Outlet, LLC. A second suit against #9 Software was filed alleging the company was counterfeiting COA labels.
COA, or certificate of authenticity, labels are the holographic stickers on the back of Microsoft software that are intended to confirm to consumers that a product is genuine. The labels also include the product key in case the operating system requires reinstallation.
Legitimate resellers of Microsoft software applauded Wednesday's legal moves.
"Consumers benefit tremendously from using genuine software and shouldn't be duped into believing that pirated technology is the same as the real thing," Robert Russell, president of Virginia-based Ill Open Technologies said. "Piracy and counterfeiting are unfair to our customers and us. Microsoft is doing the right thing."
One can argue (and probably will) that MS is selling their products for too much money in the first place. Whether or not that is true, stealing is stealing, and you can't blame MS for that.
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|Economics 101: Prices are determined by supply and demand. If the demand doesn't pay the supply's prices, the supply's prices will drop, or not utilize all of its demand.
There are other factors, too, like Adam Smith's "invisible hand." (Google it and you will learn that he is referring to competition.) I'm not neglecting them, but what does it tell you when people are paying MS's prices and not opting for free software from open source? So, don't hand me all that Linux-OpenOffice rubbish because the sales speak for themselves, fanbois.
Long story short, if you wanna see lower prices, don't buy it. But then again, you may be doing without, or settling for less. Don't complain about MS though. If you were in those shoes, you would do it, too. It's just business.
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|I paid more than $300.00 for the Windows XP Pro retail package in 2002. It's just easier to use a custom made bootable CD rom which I made myself after talking to some experts.
We have no trouble with Windows updates or Microsoft's Download Center. The new Genuine Advantage anti-piracy service is no problem either.
An on-line dealer in New York is hawking copies of the XP Pro OEM CDs for about half what they really cost. A free copy of OFFICE smells like a pirated software bundle to me.
I don't blame them for getting after thieves who profit from selling counterfeit merchandise.
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|"Consumers benefit tremendously from using genuine software and shouldn't be duped into believing that pirated technology is the same as the real thing,"
how do you figure this? the only differences are [1] - the pirated copies are cheap or free [2] - the pirated copies are exactly the same as the legit copies except for the fancy labelling and "permission to use"
as for the shops.. a simple disclaimer protects them, "Software and operating system installed for demonstration purposes only. It is the responsibility of the consumer to legally register any and all software or to remove it from their computers".
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|I think that is misleading in that who reads the small print. The software should expire or something to let them know.
Maybe the customer knew it and was only trying to get a free copy, but either way it isn't right. IMO
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|It is clear as day, if you can't understand that disclaimer that isnt the shops faulkt. Further, it's not the shop's responsibility to ensure that you read - as you call it - "the fine print". wen was the last time you read through one of the license greements accompanying the software you use? I am talkingabout 1 paragraph for the disclaimer verses 5-10 pages of incomprehensible drivel that accompanies software. even if yo did read it, the wording is so convoluted that theress no way, unles you are a law firm that spends a few weeks on the intracacy of the wording . You agree to those terms and conditions in the licensing agreement and have no clue what you are legally agreeing to. Your arguement is invalid
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|"eunichman"
It is valid and you have just helped by your comments.
"the wording is so convoluted that theress no way, unles you are a law firm that spends a few weeks on the intracacy of the wording. You agree to those terms and conditions in the licensing agreement and have no clue what you are legally agreeing to" - but we are not just talking about a license agreement here, are we.
If it is already installed, the user does not see this message. Only the installer. If the installer does not tell the user that it is a demo, or that it states somewhere that it is a demo, then the installer/firm is at fault. They were priviledge to that information, not the user who bought it after the fact.
I constantly hear people bash the users for their lack of knowledge in the areas of computers. People can be easily mislead by knowledgeable people in the area of computers and based on what they have been told buy the product unknowingly.
We don't know the particulars in this case, but I can bet that the indviduals were not told, or just not given all the information that they were supposed to get. In any case, MS would not take these companies to court based on what your argument is. There is obvious wrong-doing on their part and MS is holding them to it. People are complaining and MS is taking action. It is also very obvious when people lie. You, me, and everyone else know this. Don't let your dislike towad MS cloud your common sense, and the fact that people will take advantage of one another if given the right opportunity.
In addition, we both ar assuming one side of the argument(let's concede that point). A simple disclaimer will not be the only way of them getting out of hot water. If it is used as a protection from legal action when knowing that their motives are illegal. Pirated is not legal, copying COA labels is not legal, whether you throw a disclaimer on it or not. These people were caught red-handed. You need to read the article - not assume.
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|That's exactly right. To reitterate, first off, Microsoft does not offer demo software publicly to an end-user. Second of all, the agreement terms on the origional purchaser states that you cannot make copies and/or distribute it. That/Those persons who do make copies and redistribute them is counterfeiting Certificate of Autheniticy papers and legit software CDs. That is against the law, and if not penalized for the fact in misleading consumers, be penalized or convicted of piracy. No disclaimer can save you from the fact that you made an illegal copy of software and documentation... And what makes it worse, is they got caught. ;]
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|Despite disagreeing with Microsoft on almost all planes, I do beleive that people who make money out of selling what is rightfully someone elses entitles that someone else to take action. People should not make money off of other peoples backs in this manner.
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|I totally agree.
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|Microsoft has been making money off of everyones back since windows 1.0.
I guess Steve Jobs, and IBM isn't feeling any sympathy for their concerns right now. My question is "How can you place a Certificate of Authenticity" on a product you copied from someone else and keep a honest face?
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|I read on another site that Microsoft is calling all people pirates even if they're not selling counterfeit software. They are calling people pirates if they sell a genuine COA label without their permission. I think it's because of a new law passed.
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|I too applaud them. If we are going to hold MS for illegal activities, we should all be held to those standards. What about restitution to the people that were duped? Hope they participated in the software piracy program outlined a bit ago.
196 customers x $200.00 per copy = $39,200
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|200 per copy assuming it was Windows XP and not a more expensive Office Suite or something else.
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|I think MS are giving legit copies to everyone who was sold a pirate copy.
It won't actually cost MS much, just the cost of burning a CD and printing a manual
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|They will give you a legit copy only if you have a pirated and you turn in the person who sold you the pirated copy. That's the catch. I would do it though.
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|That should pay the lawyers fee.
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|If you can't turn in the person as in you don't know who originally sold it or installed the software, etc. Microsoft is offering a discount towards your purchase of a legitimate key or legitimate package.
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