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Microsoft Corp. v. DAK Indus., Inc. 66 F.3d 1091 (9th Cir 1995) is a court case in which Microsoft contended that in being licensed rights to sell Microsoft Word (Word) software, the then-bankrupt DAK Industries had been granted permission to use this intellectual property, so Microsoft was entitled to receive payments during post-bankruptcy in the form of royalties.

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  • Microsoft Corp. v. DAK Industries, Inc. (en)
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  • Microsoft Corp. v. DAK Indus., Inc. 66 F.3d 1091 (9th Cir 1995) is a court case in which Microsoft contended that in being licensed rights to sell Microsoft Word (Word) software, the then-bankrupt DAK Industries had been granted permission to use this intellectual property, so Microsoft was entitled to receive payments during post-bankruptcy in the form of royalties. (en)
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  • Microsoft Corp. v. DAK Indus., Inc. (en)
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  • http://commons.wikimedia.org/wiki/Special:FilePath/Seal_of_the_United_States_Courts,_Ninth_Judicial_Circuit.svg
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  • Microsoft Corporation v. Dak Industries Incorporated (en)
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  • William A. Fletcher, Melvin T. Brunetti, and Thomas G. Nelson (en)
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  • Microsoft Corp. v. DAK Indus., Inc. 66 F.3d 1091 (9th Cir 1995) is a court case in which Microsoft contended that in being licensed rights to sell Microsoft Word (Word) software, the then-bankrupt DAK Industries had been granted permission to use this intellectual property, so Microsoft was entitled to receive payments during post-bankruptcy in the form of royalties. The Ninth Circuit disagreed, believing that the 'economic realities' of the agreement in which payments for a certain number of copies of Word were made in the form of installments meant that the agreement should be considered as a 'lump sum sale of software units' even if the agreement was called a license that required 'royalties' instead of 'payments'. Microsoft was therefore unable to claim special interest over the bankruptcy claim as it was a transfer of goods in the form of a sale, making it an unsecured creditor. (en)
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  • Buying a lump sum of software was found to be equivalent to buying a lump sum of physical goods when considering the 'economic realities' of the deal, even if it was sold under a license providing a 'permission-to-use' the intellectual property. (en)
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