PC Connection settles Microsoft suit

Merrimack, NH-based PC Connection says it has settled a trademark and copyright infringement brought by Redmond, WA-based computer giant Microsoft.

Microsoft alleges that five shrink-wrapped software packages sold by the computer cataloger were in fact counterfeit. According to PC Connection CEO Ken Koppel, the cataloger may have unwittingly purchased the counterfeit software packages on the spot market. Although PC Connection claims no wrongdoing, it has agreed to pay Microsoft $625,000 to settle the case. PC Connection will include the settlement costs and related fees—about $125,000—as a special charge in the first quarter. PC Connection sells more than $50 million of Microsoft products annually.

Going forward, PC Connection will purchase software packages only from Microsoft-authorized dealers.

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