EU/US: Microsoft’s landmark non-compliance fine leads to legal action

Last year’s record-breaking fine levied against Microsoft by the European Commission for the company’s failure to adhere to commitments to offer its users a choice of Internet browsers has come back to haunt the company.

The Commission fined Microsoft $731 million more than one year ago for breaching its agreement with competition authorities to offer users browser choices other than its Internet Explorer. That agreement, made in 2009, was reportedly broken when a probe found a software update issued between May 2011 and July 2012 resulted in customers no longer having that choice in browsers.

The company only explained the case as a “technical error.” Sources had stated at the time that the software update was connected to the Windows 7 rollout.

Now, reports say shareholder Kim Barovic filed a lawsuit in the US over Microsoft’s alleged failure to property respond to the case and perform an adequate investigation into the matter. Reports say the lawsuit names the company’s executives, including founder Bill Gates, as defendants.

Microsoft has responded to Barovic’s lawsuit by repeating similar claims it stated when the EU first issued its fine, and in an emailed statement said that “the board thoroughly considered [Barovic’s] demand as she requested and found no basis for such a suit.

Full Content: The Sydney Morning Herald

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