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Microsoft Ordered To Pay Uniloc $388 Million Over Patent

April 9, 2009

A federal jury commanded US software company Microsoft to pay 388 million dollars to the company Uniloc for breaching an anti-piracy software patent controlled by the company on Wednesday.

The payout was awarded by a jury reviewing the case in Rhode Island.

The jury forced Microsoft to reimburse Uniloc for infringing on exclusive rights for a security algorithm controlled by Uniloc.

The grievance was made by Uniloc Singapore Private Ltd and Uniloc USA Inc. in October 2003.

Uniloc blamed Microsoft for using their patent in the Windows operating system, which are used by the majority of the world’s personal computers.

Microsoft wants the decision reversed.

“We are very disappointed in the jury verdict,” said David Bowermaster, a Microsoft spokesman.

“We believe that we do not infringe, that the patent is invalid and that this award of damages is legally and factually unsupported,” he said. “We will ask the court to overturn the verdict.”

Microsoft had won the case in the past, but Uniloc persuaded an appeals court to turn over the judge’s decision, contending that the case was affected by the statements of an expert witness that conflicted with the case.

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