The Washington Post
WASHINGTON — Microsoft Corp.’s lead attorney told a federal judge Friday that states pursuing the antitrust case against the company are "entitled to no relief" and hinted that the company will challenge their right to continue their case.
The statement came as Microsoft and Justice Department lawyers answered questions from U.S. District Court Judge Colleen Kollar-Kotelly about how she should proceed in determining whether the settlement deal they struck in November is in the public interest and should be approved.
Nine states that had been part of the prosecution in the long-running case joined in the settlement, but nine others and the District of Columbia did not, calling the agreement flawed and inadequate to curtail Microsoft’s monopoly practices. The states that did not settle are seeking tougher sanctions, and separate hearings in that case are scheduled to begin March 11.
The judge must weigh the proposed settlement deal and figure out how to make that process mesh with the hearings with the states. Microsoft and the Justice Department want the court to rule on the settlement first, and Kollar-Kotelly agreed to schedule a hearing for the week of March 4.
But she put off deciding how long the hearings might take, or how they will be structured. Opponents of the deal are asking for a formal role in the process and for the ability to present witnesses and evidence.
Legal experts say it would be awkward for the judge to quickly approve the deal, only to then hear evidence in the states’ case that tougher penalties might be warranted. Many expect the judge to withhold ruling on the settlement deal until after the hearings with the states are over.
Microsoft attorney John Warden told the judge that in Microsoft’s view, the states cannot seek sanctions that go beyond the terms of the agreement. And the only appropriate forum for examining the settlement, Warden said, are the hearings to determine if it is in the public interest.
The judge also asked Microsoft to respond to specific allegations that it failed adequately to disclose lobbying contacts leading up to its settlement with the government.
And she asked the Justice Department to explain further how the agreement should be evaluated in light of the fact that Microsoft has been found to have broken antitrust laws by a federal appeals court. Most settlement agreements are struck before such cases go to trial.
Talk to us
> Give us your news tips.
> Send us a letter to the editor.
> More Herald contact information.
