MSFT Microsoft Corporation

By Brent Kendall 

WASHINGTON -- The Supreme Court on Tuesday dropped from its docket a case that examined whether emails and other data stored overseas are subject to U.S. search warrants, following new legislation from Congress saying they are.

The case had pitted federal and state authorities against an array of leading tech companies. It centered on a dispute between the Justice Department and Microsoft Corp., which resisted complying with a warrant that sought emails from an account allegedly tied to illegal drug activity.

Microsoft had stored the emails in Ireland and said U.S. warrants didn't reach beyond domestic borders. The Justice Department said the warrant was enforceable because the government sought disclosure in the U.S., where Microsoft is based.

The Supreme Court heard oral arguments in February, and several justices expressed frustration at having to decide the case based under a 1986 federal law on electronic records that Congress adopted before email and cloud-computing were everyday tools.

Now, they don't have to. Weeks after the argument, Congress passed legislation to modernize the law and give law enforcement access to data even if it is stored overseas.

"This case, therefore, has become moot," the court wrote in a three-page opinion.

Write to Brent Kendall at brent.kendall@wsj.com

(END) Dow Jones Newswires

April 17, 2018 11:03 ET (15:03 GMT)

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