Microsoft Sues Educational Software Pirates

Microsoft has filed nine lawsuits and issued more than 50 cease and desist letters in an effort to curb software sold to consumers that is actually intended for students and schools.

Lawsuits were filed in federal courts in California, New York, New Jersey, Florida, Nevada and Montana. They target companies internationally in countries such as Jordan, who then do business here in the United States.

Microsoft's moves are only the latest by the company to curb piracy of its products. According to the Business Software Alliance, the problem cost the software industry some $34 billion during 2005 alone.

The Redmond company alleges that these pirates have posed as educational resellers in order to obtain the software from Microsoft. The software was then resold to Internet retailers who in turn distributed it to the public.

"The defendants in these lawsuits and others are charged with profiting from selling clearly marked educational software to unsuspecting retail customers who were not licensed to use it - and potentially depriving students and schools of the opportunity to benefit from the latest technologies," senior attorney Bonnie MacNaughton said.

At least one, EDirectSoftware.com, has already agreed to settle out of court for more than $1 million. Others who have received the cease and desist letters have voluntarily agreed to stop selling the software.

Microsoft claims these resellers are making millions off of the enterprise. Jordan's authorities said they were investigating the claims and would prosecute under the country's intellectual property laws. Similar actions have been launched in other countries.