Mississippi has reached an anti-trust settlement with Microsoft, said Attorney General Jim Hood.

The lawsuit was filed against the company in 2004. The settlement order, worth up to $100m, between the State of Mississippi and Microsoft was approved by Hinds County Chancery Court. Microsoft will pay $40m to the state in about 40 days and Mississippi schools, businesses, local governments and others will receive about $60m in vouchers.

Mississippi sued the company stating that it engaged in anticompetitive conduct that led customers to shell out more for software than they would have to do if there had been a competition.

A statement released by the Office of the Attorney General, State of Mississippi, said: “All Mississippi residents, businesses, county/local governments or schools that purchased Microsoft products or computers containing Microsoft products between January 1, 1996 till today will be eligible to receive a voucher of $12 or $5 (depending on which products were purchased). The vouchers can be used towards the purchase of any software or hardware product.

Attorney General Hood said: “I hope all Mississippi residents, businesses, schools, county and local governments will obtain a voucher for each computer or Microsoft software they purchased and use the voucher as a discount on the purchase of any type of software or hardware. Additionally, the money that will be going into the state coffers will really help in this economically challenged time.”

The software qualifying for $12 vouchers includes: Windows 95, Windows 98 and Windows ME. The software qualifying for $5 vouchers includes: Application Products (i.e. Office, Word, Excel), MS-DOS, Windows 1.xx-3.xx Windows for Workgroups, Windows NT Workstation, Windows 2000 and Windows XP.

Microsoft has already settled suits in 21 states but this settlement is expected to be the largest cash payment made to a state government.