Microsoft sues Comet over sales of 'counterfeit CDs'
The software giant Microsoft is suing Comet, the embattled UK electricals chain, over its alleged creation and sale of counterfeit Windows and Vista recovery CDs.
But Comet, which is being sold by its parent Kesa Electricals for £2 to the investment firm Opcapita, rejected the accusations and said it has "a good defence to the claim and will defend its position vigorously".
Microsoft's lawsuit relates to Comet selling more than 94,000 of the recovery discs, which enable users to reinstall software they had purchased with computers, for £14.99 each between March 2008 and December 2009.
The retailer, which has more than 240 stores, used a third-party manufacturer to produce the discs at a factory in Hampshire. However, it is thought that Comet generated revenues of less than £1m from the discs during this period. This suggests the scale of Microsoft's legal claim will be relatively modest.
David Finn, the associate general counsel for worldwide anti-piracy and anti-counterfeiting at Microsoft, said: "Comet produced and sold thousands of counterfeit Windows CDs to unsuspecting customers in the UK. Comet's actions were unfair to customers."
It is understood that Opcapita, which is expected to complete its acquisition of Comet early next month, was aware of the lawsuit during its due diligence.
Comet said it had "sought and received legal advice from leading counsel to support its view that the production of recovery discs did not infringe Microsoft's intellectual property".
- 1 Nigel Farage: Me vs Russell Brand on Question Time – he's got the chest hair but where are his ideas?
- 2 Harry Potter fans can apply to the Hogwarts-inspired College of Wizardry
- 3 Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
- 4 Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
- 5 Orange Wednesdays are no more
Weather bomb in pictures: Storms cuts power for tens of thousands – and snow is on the way
Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
Russell Brand was rendered speechless on Question Time by this man
Fury at Airbus after it hints the super-jumbo may be mothballed
Disgruntled RBS worker writes hilarious open letter to Russell Brand after anti-capitalist publicity stunt leaves him hungry
Nigel Farage defends Kerry Smith 'ch***y' comment: 'If you are going for a Chinese, what do you say you’re going for?'
Nigel Farage's approval rating hits 'record low' as popularity suffers in wake of Ukip sex scandal
Pakistan school attack live: Taliban kill at least 132 children in 'horrifying' massacre
Sony hack: Angelina Jolie branded 'seriously out of her mind' in further embarrassing leaked email saga
Panic Saturday: 13 million Britons spend £1.2bn – while 13 million others across the country live in poverty unable to afford food
iJobs Money & Business
£20000 - £25000 per annum + OTE £40,000 + Car + Pension: SThree: SThree are a ...
£20000 - £25000 per annum + OTE £35K: SThree: We consistently strive to be the...
£20000 - £25000 per annum + OTE £35000: SThree: SThree are a global FTSE 250 b...
£20000 - £25000 per annum + OTE £35K - £45K: SThree: SThree Group have been we...