MS files suit against VAR

Vendor accuses ITAC (UK) Ltd of selling 'parallel import' software

Microsoft has filed a $7m civil case against a UK reseller, alleging it has been selling 'parallel import' software to the channel.

According to a document leaked to CRN, Microsoft has commenced a claim in the High Court against reseller ITAC (UK) Ltd, which it believes has been importing software from an unauthorised distributor in the Middle East.

Microsoft alleges the operation came to light when channel partners and customers received the products and recognised that they were not manufactured for the UK market.

Alex Hilton, licence compliance manager at Microsoft, said in a statement: "Parallel importing and breach of trademark and copyright are serious issues that we do not take lightly. Our priority is to protect the vast majority of our channel partners, which are operating legally."

However, in a letter to its customers, ITAC's litigation department said: "We intend to defend these proceedings strenuously. We make it our practice to deal with authorised distributors."

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