Preliminary approval has been given to a settlement of the anti-trust lawsuit against Microsoft Corp., with the software giant agreeing to pay Iowa consumers $179.95 million.

Unlike any of the other settlements across the country, Microsoft will pay consumers in cash as opposed to vouchers for future purchases of software. Iowa state and local government agencies and those that purchased their products under a volume license agreement will receive vouchers that can be used to purchase items from any manufacturer, not just Microsoft.

Attorneys Roxanne Conlin of Des Moines and Rich Hagstrom of Zelle, Hofmann, Voelbel, Mason & Gette LLP of Minneapolis filed the Iowa lawsuit in 2000. The case has been in litigation since and has gone to the Iowa Supreme Court three times for consideration of various legal issues.

The lawsuit claimed that Microsoft engaged in illegal monopolization and anti-competitive conduct between 1994 and 2006 that caused customers to pay more for software than they would have if there had been competition.

The suit sought more than $330 million from Microsoft, which denied the allegations, saying Iowa customers had received quality products at fair prices.

The two sides announced a settlement on Feb. 14, three months into the trial in the case.

The plaintiffs are also asking for $75.5 million in attorney’s fees and expenses. Conlin said the fees were reasonable, noting her team had invested millions of dollars in attorney time to take the case with “no guarantee of receiving even a partial return.”

Microsoft attorneys said in court today that they object to the amount of fees the plaintiffs’ attorneys are requesting. The details will be worked out before the case returns to court Aug. 31 at 9 a.m. for final approval from District Judge Scott Rosenburg.

Class members are entitled to receive $16 for each copy of Windows or MS-DOS they purchased; $25 for each copy of Microsoft Excel; $29 for each copy of Microsoft Office; and $10 for each copy of Microsoft Word, Works and Home Essential software. Consumers do not need proof of purchase to be reimbursed for up to $200.

Microsoft will provide one-half of the difference between $179.95 million and the unclaimed cash and vouchers to Iowa public schools in the form of vouchers that may be used by the schools to purchase a broad range of hardware products, Microsoft and non-Microsoft software, and professional development services.

For details on how to receive payment, go to www.IowaMicrosoftCase.com.