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July 22nd, 2005, 15:41 GMT

Google Fights Fire With Fire

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Microsoft's lawsuit against Google seems to have taken a rather peculiar course, since the search engine's legal representatives announced today that they are filing a counter-lawsuit against the company from Redmond, saying that its claim is nothing more than an attempted restriction of trade.

Microsoft's original action attempts to prevent Google from stealing away its employee Kai Fu-Lee, in order for him to open a new R&D center in China. The lawsuit alleges
that by accepting a position with a direct competitor Lee can apply insider knowledge about Microsoft's trade secrets, intellectual property and strategies. Microsoft also claims that Lee, a former Apple employee, signed a "noncompete" agreement in 2000 preventing him from defecting, according to PCPRO.

In the past Microsoft has successfully used non-compete clauses to stop former employees from moving to rivals. That is why Google has asked a California court to throw out Microsoft's claim, seeing that Californian courts in the past have overturned non-compete contracts, and Mr. Lee is also a citizen of this state, being registered to vote and paying his taxes there.

However, Microsoft brought its action in its home state of Washington, whose courts haven't previously taken the same view, on the grounds that the noncompete agreement was signed there, and therefore the courts from this state should decide the final ruling in this case.

We'll keep you posted as events unfold in this case, which, as we've told you in our previous articles, is more about the competition between the two companies in China than it is about Mr. Lee deciding to change his job and join Google.

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