Winternals v. Best Buy

["Richard M. Smith" <rms () bsf-llc com>]

Best Buy Hit With Restraining Order 
 
http://news.yahoo.com/s/ap/20060412/ap_on_hi_te/best_buy_software_suit_1

AUSTIN, Texas - A Texas software company sued Best Buy Co. Inc. in federal
court on Tuesday, alleging that the nation's largest consumer electronics
retailer was using unlicensed versions of its diagnostic equipment. 

In response, a U.S. District Court granted Winternals Software LP's request
for a temporary restraining order.

The lawsuit by Austin-based Winternals alleges employees of Best Buy's
computer-repair subsidiary, Geek Squad Inc., have been using pirated
versions of the software since talks on a commercial licensing agreement
broke off.

The suit accuses Best Buy and its subsidiaries of copyright infringement,
circumvention of copyright infringement systems and misappropriation of
trade secrets.

Best Buy officials did not immediately return a call from The Associated
Press seeking comment.

According to the lawsuit, Winternals and Minnesota-based Best Buy began
negotiating an agreement to use a Microsoft Windows-based systems recovery
and data protection software last fall. The lawsuit says Best Buy broke off
negotiations in February, saying it was no longer interested in the
commercial license.

Each software copy costs $1,200 and the two companies were negotiating a
deal for bundled software worth several million dollars, said Winternals
attorney David Weaver of Vinson & Elkins LP.

Winternals plans to seek an undetermined sum for damages, Weaver said.

A hearing has been set for May 12 in Austin.

Meanwhile, Best Buy has 20 days to provide all copies of the software,
identify who used the software and where it was found, and explain how each
copy was obtained or duplicated, according to the restraining order.

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