Microsoft $358 milioln damage award overturned

SEATTLE | Fri Sep 11, 2009 12:18pm EDT

SEATTLE (Reuters) - A U.S. court of appeals on Friday overturned a $358 million damages award against software maker Microsoft Corp in a long-running patent dispute with French telecoms equipment firm Alcatel-Lucent.

The United States Court of Appeals for the Federal Circuit, which handles many patent and trademark cases, held that Microsoft did indirectly infringe Alcatel's patents, but ordered that the damages portion of the case be retried.

Last year, a U.S. federal court jury awarded Alcatel-Lucent $358 million in damages from Microsoft for violating patents relating to technology that allows users to enter dates into calendars, known as the "Day" patent.

Alcatel-Lucent officials were not immediately available for comment.

A Microsoft spokesman said the company would comment after reviewing the court's order.

(Reporting by Bill Rigby and Jonathan Stempel; Editing by Phil Berlowitz)

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