In July, Microsoft found itself on the receiving end of a lawsuit filed by a Boca Raton, Florida based novelty company called Cellrdern. At the time, Cellrdern claimed Microsoft ran TV ads for its Windows Phone operating system that were lifted from a 2009 YouTube ad for its own Cell-R-Derm product that tries to put a humorous tone on some people's obsession with cell phone use.
Now, PaidContent.org has posted up word that the two companies have now reached some sort of settlement in this case. The two sides have now agreed to dismiss the case after Microsoft and Cellrdern apparently reached an agreement via mediation. The terms of the settlement were not disclosed.
The fact that Microsoft, which could have likely have kept fighting the case with its cash horde and lawyers, wanted to mediate and settle the case with Cellrderm likely means that Microsoft felt that Cellrderm had a good chance of winning had the lawsuit been brought to trial.
The story points out that current copyright laws state the expression of ideas can be protected, even if the ideas themselves don't fall under copyright law. Cellrderm's specific presentation in its YouTube ad was perhaps too close for conform to Microsoft's Windows Phone TV ads.