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Federal Mediator judge Richard Posner has declared negotiations over. The two
sides are just too far apart to reach an agreement. People "close to the case"
indicated Microsoft would not admit any wrongdoing, would not release any
Windows code, would not accept a breakup, and would not accept restrictions on
what they could "integrate" into Windows.
For their part, the DOJ team is highly distrustful of Microsoft, will not
accept any promises of good behavior, and will not accept "behavioral"
remedies. They want self-enforcing structural remedies. They have learned
the hard way that Microsoft's word is as good as swamp gas.
At the beginning of the trial, the 19 state attorneys general supporting the
DOJ were expected to be the weak sisters. Instead they proved to be hard nosed
and forced the DOJ to take a firmer stance than it might have otherwise. Many
of these attorneys general want Microsoft broken up.
Trial judge Thomas Penfield Jackson had hoped to escape ruling on this
case, as things are sure to get very messy very fast afterwards. Now he will
have to issue the "Finding of Law", which state the violations of law which
derive from the "Finding of Fact" he issued a few months ago. Then the case
will move on to the penalty phase.
The real problem for Microsoft is that, once the Finding of Law is issued,
it can be used as proof of wrongdoing by anyone else suing them, and there
are at least 100 lawsuits pending against them. It was questionable if the
Finding of Fact could be so used if the Finding of Law were not issued. The
Finding of Fact clearly states that Microsoft has a monopoly and has used that
monopoly improperly.
Microsoft is certain to appeal, and would hope for the best from the
DC court of appeals, which has, in the past, ruled in Microsoft's favor, giving
the excuse that they were not qualified to understand the technology issues
involved. At this point they would only be able to reevaluate the Finding of
Law unless Microsoft can show gross error in the Finding of Fact, which nobody
thinks they can.
Judge Jackson and the DOJ have the option of sending the case immediately to
the Supreme Court for appeal, bypassing the DC Court of Appeals entirely, due
to a clause in the anti-trust law. There is some risk of offending the high
court by forcing them to take the case, but it may be worth the risk.
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