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Antitrust matters are rarely isolated within a single state or federal agency or jurisdiction. We represent clients facing multi-dimensional antitrust challenges on the transactional, regulatory and litigation fronts, mobilizing an unmatched combination of courtroom excellence, government experience and legal, economic and academic prowess on our clients’ behalf.

California Court Dismisses Antitrust Claims Against Microsoft

The Superior Court of California dismissed an action brought over a decade earlier against Paul, Weiss client Microsoft Corporation. The dispute, brought by S. Jerrold Kaplan, co-founder of GO Corporation and GO Computer, a shell company he created for litigation purposes, alleged violations of multiple provisions of the Cartwright Act, California's antitrust statute. The plaintiff's core allegations concerned Microsoft's alleged anticompetitive agreements with hardware and software manufacturers. The plaintiff claimed that these agreements and other conduct by Microsoft restrained competition in the market for Intel-compatible operating systems for use on personal computers worldwide and limited sales of the PenPoint operating system that GO Corporation and Kaplan developed in the late 1980s and early 1990s. The plaintiff, suing on behalf of Alcatel Lucent, the current owner of PenPoint, sought approximately $5.9 billion in lost profit damages before trebling and disgorgement of $14.2 billion. After Paul, Weiss, along with Orrick, Herrington & Sutcliffe, obtained favorable rulings on several key pretrial motions, the plaintiff agreed to settle the case on favorable terms.

The Paul, Weiss team included, among others, litigation partner Eric Stone.

September 25, 2015

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