TL;DR
A long-running dispute between Microsoft and reseller ValueLicensing over the resale of perpetual software licenses is moving forward as VL seeks further disclosure about Microsoft's From Software Assurance (From SA) program. The case, before the UK Competition Appeal Tribunal, follows a failed Microsoft copyright argument and an announced appeal by the company.
What happened
ValueLicensing has applied for further disclosure about Microsoft's From Software Assurance (From SA) program as its multi-year legal battle with the software giant continues at the UK Competition Appeal Tribunal (CAT). From SA, introduced in 2014 and wound down in 2024, was a maintenance offering sold with volume licenses that included upgrades, license mobility, training vouchers and virtualization rights, and offered a route for customers to shift perpetual licenses toward Microsoft's cloud services and Microsoft 365. Product terms required customers to retain the corresponding qualifying perpetual licenses during the From SA subscription, a provision ValueLicensing says was used to suppress the resale market. VL's original complaint, lodged in 2021, seeks £270m in damages alleging Microsoft restrained resale by offering discounts tied to license retention. Microsoft argued resale infringed its copyright and asked for a stay while appeals proceed; the CAT rejected the copyright claim and Microsoft has said it will appeal.
Why it matters
- A ruling could affect the secondary market for perpetual software licenses across the UK and Europe.
- Findings about From SA may clarify whether vendor upgrade or bundling programs can lawfully influence resale behavior.
- A large damages award would raise commercial and legal risks for major software vendors and resellers.
- The dispute highlights tensions as customers and resellers adapt to subscription and cloud licensing models.
Key facts
- From SA was launched in 2014 and ended in 2024; it was sold alongside volume licenses.
- The program offered upgrades, license mobility, training vouchers and virtualization rights, and provided discounts to shift customers toward Microsoft cloud services.
- Microsoft's product terms required customers to retain corresponding qualifying perpetual licenses during their From SA subscription period, which prevented resale while covered by From SA.
- ValueLicensing filed its original complaint in 2021 seeking £270 million in damages for alleged restrictive licensing practices.
- Microsoft argued in November that resale of secondhand licenses infringed its copyright and that partial license sales were impermissible; the CAT did not uphold that claim.
- Microsoft has said it will appeal the CAT judgment and also sought a stay of proceedings to pause the case pending appeals.
- ValueLicensing has described Microsoft's stay request as a delaying tactic and has applied for further disclosure specifically about the From SA program.
- The matter remains active at the UK's Competition Appeal Tribunal and may have wider implications for the pre-owned software market.
What to watch next
- Result of ValueLicensing's disclosure application and the specific documents or internal materials it produces.
- Outcome of Microsoft's intended appeal against the CAT's rejection of its copyright argument.
- Whether the CAT grants or denies the stay of proceedings and how quickly the case proceeds thereafter.
Quick glossary
- From Software Assurance (From SA): A Microsoft maintenance program sold with volume licenses that provided upgrades, license mobility and other benefits, and offered a path toward Microsoft cloud services.
- Perpetual license: A software license that allows the buyer to use a specific version of software indefinitely, as opposed to subscription-based access.
- Disclosure application: A legal request for the opposing party to produce documents or information relevant to the issues in a case.
- Competition Appeal Tribunal (CAT): A UK specialist tribunal that hears competition and related regulatory cases, including complex commercial disputes.
Reader FAQ
What was the From SA program?
From SA was a Microsoft maintenance offering bundled with volume licenses that included upgrades and other benefits and provided discounts to transition customers toward cloud services.
What is ValueLicensing alleging?
VL says Microsoft designed From SA to keep perpetual Office and Windows licenses off the resale market by requiring customers to retain those licenses in exchange for favorable terms, harming secondhand resellers.
Did the tribunal accept Microsoft's copyright argument?
No. The Competition Appeal Tribunal did not find in Microsoft's favor on the copyright point; Microsoft has said it will appeal.
Is a settlement or final outcome known yet?
not confirmed in the source
SOFTWARE Microsoft's 'From SA' scheme on trial as license resale row refuses to die ValueLicensing case rumbles on as Windows giant appeals against copyright judgment Richard Speed Thu 15 Jan 2026 // 10:15 UTC…
Sources
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