Here is a posting from the Tech Stock Options Thread. It is pretty speculative but suggests civil antitrust action against Microsoft if DOJ is successful.
To: Gersh (43757 )
From: Gersh
Saturday, May 23 1998 9:27PM ET
Reply # of 43841
post.messages.yahoo.com.
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The problem with Microsoft's "business model," is that it is riddled with business practices
which are illegal under the antitrust laws (as well as the trademark laws, with respect to the
trademark infringement action which 3Com has brought against Microsoft in Europe, arising
from the "PALM" trademark for hand-held computers.)
As for Netscape, probably its single biggest asset is its multi-billion-dollar antitrust claim which
it has yet to bring, but surely will, against Microsoft. No doubt, Netscape would like to await a
final judgment in the DOJ's case, if possible (which now seems in the cards), before filing a
private civil antitrust action against Microsoft under 2 of the Sherman Antitrust Act.
If the DOJ can establish certain facts and issues against Microsoft in the pending U.S. v.
Microsoft litigation, then Microsoft can expect to be collaterally estopped in a subsequent
private civil action brought against it by Netscape. Netscape did NOT retain Robert Bork
simply to make television appearance or to write Op-Ed pieces in The Wall Street Journal or
The New York Times.
Under the antitrust laws, depending upon how damages will likely be measured (e.g.,
compensatory damages for loss of market share in relevant market, i.e., the web browser
market, etc. - one possibility), whatever Netscape may be awarded, which can easily run into
the hundreds of millions of dollars, if not billions of dollars, will be TRIPLED in accordance
with the antitrust law. Netscape would also be entitled to attorneys' fees from Microsoft.
Thus, if Microsoft loses to the DOJ later this summer or this fall, look for Netscape to
follow-up with its own multi-billion dollar antitrust action against Microsoft and, remember, if
Microsoft loses to the DOJ, it will likely be BARRED from re-litigating any issues necessary to
support the final judgment against it. In other words, if Microsoft loses to the DOJ, for all
intents and purposes, Microsoft will be barred from defending its actions again in a separate
suit to be brought by Netscape, i.e., Microsoft will be barred from presently a defense!
The reverse, however, is NOT true. Microsoft can defeat the DOJ (which, frankly, seems
extremely UNLIKELY), however, this would NOT bar Netscape from establishing its claim
against Microsoft anew. Because Netscape is NOT a party to the present DOJ/Microsoft
litigation, Netscape can only benefit from an adverse ruling to Microsoft, but will not
necessarily be harmed by a favorable ruling to Bill (which, again, does not seem to be in the
cards.) Not being a party to the DOJ action, it is not bound by any potential ruling adverse to
its interests, as a general rule.
Either way, Microsoft has NOT heard the last of Netscape. Netscape has a billion-dollar plus
antitrust claim against Microsoft and, in due course, that claim will be prosecuted.I do NOT
work for Netscape, but I can virtually guarantee it!!!
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The above was a post on the Yahoo MSFT thread.
Gersh |
