Judge Orders Microsoft to Release Internal Docs in Secondhand Licensing Case
Court mandates Microsoft produce internal documents and exec communications in licensing lawsuit.
Why it matters: This ruling raises stakes in a high-profile software licensing dispute, with potential regulatory impact on tech licensing practices that affect legal tech vendors and corporate legal teams.
- Judge issued consent order on Sept 17, 2026, requiring broad discovery from Microsoft.
- Microsoft must search executive communications from July 2012 to June 2020 for specific terms.
- The court lifted confidentiality on many documents, demanding case-by-case justification.
- Microsoft must explain by Oct 31, 2026, delay in disclosing a 2013 internal document.
- Documents must be produced by Nov 30, 2026, including communications from top executives.
- Case centers on allegations Microsoft incentivized customers away from reselling licenses.
In a significant development in the ongoing legal dispute between Microsoft and secondhand software reseller ValueLicensing, a UK judge issued a consent order on September 17, 2026, mandating Microsoft to disclose internal documents and conduct extensive searches of communications from high-level executives.
The discovery focuses heavily on a 2013 internal Microsoft document named the 'Second-Hand Software Presentation' (SHS Presentation), which the court has labeled a 'Known Adverse Document.' Microsoft originally disclosed this document on December 22, 2025—four years after ValueLicensing filed suit in 2021. The court has set a deadline of October 31, 2026, for Microsoft to explain why this document was not disclosed earlier.
Under the order, Microsoft must search the corporate mailboxes and SharePoint accounts of executives including Richard Chin, Corporate VP responsible for monetization, and Kevin Turner, former COO from 2005 to 2016. The search covers emails and communications from July 3, 2012, through June 1, 2020, for keywords such as "antitrust," "used licenses," "second hand," and "Value Licensing." Any documents found must be produced by November 30, 2026.
The court also lifted prior confidentiality protections on many documents related to the case, requiring Microsoft to justify maintaining any privacy designation on a document-by-document basis. This expanded discovery signals heightened judicial scrutiny into Microsoft's historical licensing practices.
ValueLicensing alleges that Microsoft discouraged resale of perpetual licenses by offering incentives for customers to switch to subscription models. Jonathan Horley, CEO of ValueLicensing, said the order "brings a liability trial one stage closer" by enabling greater insight into how Microsoft has treated the secondhand software market.
The dispute highlights ongoing regulatory and compliance issues around technology licensing and the resale rights of software, a topic sharpened by earlier rulings such as the European Court of Justice’s ruling in UsedSoft v Oracle. How Microsoft justifies the delayed disclosure and the contents of executive communications could shape the next phase of this litigation.
By the numbers:
- June 2013 — Date of 'Second-Hand Software Presentation' at center of dispute
- December 22, 2025 — Date Microsoft disclosed the key internal document
- October 31, 2026 — Deadline for Microsoft to explain delayed document disclosure
- July 3, 2012 to June 1, 2020 — Period for executive communications to be searched
- November 30, 2026 — Deadline to produce documents from searches
What's next: Microsoft’s explanation for the delayed disclosure is due by October 31, 2026, with document production set for November 30, 2026.