Court orders Microsoft to restore Xbox account, pay $400

A Brazilian court has ordered Microsoft to restore a gamer's suspended Xbox account and his entire digital game library, awarding him approximately $400 in damages. The ruling, issued in early June, represents a rare legal victory for a consumer against a major technology corporation over digital ownership rights.

The case centers on a user known online as Ordo_Liberal, whose Microsoft account was compromised in April 2026 despite having two-factor authentication enabled. After confirming the unauthorized access, Microsoft's support team permanently suspended the account for security reasons. According to correspondence shared by the user, the company informed him that recovery was impossible and his only option was to create a new account and repurchase all his games.

Instead of accepting that outcome, the gamer filed a lawsuit in Brazil, leveraging the country's robust consumer protection laws. The legal framework allowed him to pursue the case through a small-claims system without incurring legal fees or requiring a private attorney; he received pro bono assistance from the local consumer protection agency, PROCON.

The trial lasted approximately three months. Court documents...