Feeds

Microsoft hit with cash-for-Points lawsuit

Lawyer cries fraud over Xbox Live download payments

Application security programs and practises

Microsoft is facing a class-action lawsuit over the way it charges for digital content served up by Xbox Live.

Samuel Lassoff, a lawyer from Horsham, Philadelphia, last week filed a complaint against the software giant. He told the US District Court for Eastern Pennsylvania that Microsoft breached its contract with users such as himself by "collecting revenues for digital goods and services which were not provided".

He alleged the company "engaged in a scheme to unjustly enrich itself", behaviour he said was "fraudulent".

Lassoff's beef centres on the use of Microsoft Points - tokens purchased with real money and then spent on games, movies and so on at the Xbox Live Marketplace.

Microsoft Points are sold in fixed amounts which are typically more than an individual might require to buy just one or two downloads. That leaves them with a stack of Points left over that they may not need and, crucially, can't recover.

Earlier this month, Microsoft said it will state cash values alongside downloads' Points prices - a move it may roll out in the UK. The company has even mooted abolishing Microsoft Points altogether. ®

The Power of One Infographic

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
You didn't get the MeMO? Asus Pad 7 Android tab is ... not bad
Really, er, stands out among cheapie 7-inchers
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
BEST BATTERY EVER: All lithium, all the time, plus a dash of carbon nano-stuff
We have found the Holy Grail (of batteries) - boffins
Cheer up, Nokia fans. It can start making mobes again in 18 months
The real winner of the Nokia sale is *drumroll* ... Nokia
Microsoft confirms secret Surface will never see the light of day
Microsoft's form 8-K records decision 'not to ship a new form factor'
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Application security programs and practises
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Securing Web Applications Made Simple and Scalable
Learn how automated security testing can provide a simple and scalable way to protect your web applications.