[olug] SCO Lawsuit

[neal rauhauser]

  SCOX received $50M in a PIPE (private investment in public equity)
with this funding specifically meant to support their 'Linux tax'. The
two companies that provided this were Royal Bank of Canada and Baystar.
RBC pulled out of the deal, selling their stock to Baystar, and the
terms of the PIPE allow Baystar to seize almost every dime SCOX has in
their treasury. Baystar has already taken steps to do this. Right now
RBC is unloading 740k worth of junk SCOX stock they got as part of the
deal - this should be done by Friday, then SCOX takes another giant step
towards a chapter 7 bankruptcy when the judge impounds their operating
funds.

  SCOX has filed against two large companies and in the first case,
against Daimler Chrysler, the judge has made it clear that she has seen
SCOX coming and won't tolerate their nonsense. Analysts fully expect
this one to get thrown out on its ear. The Autozone case is a little
more complex and AZ seems willing to let IBM clean house on the problem.

  SCOX is finally cornered by IBM's lawyers and the analysts believe
that a summary judgement, with prejudice, is going to be the final
outcome. They've fooled around for a year in discovery, they just asked
for another nine months, but they're repeatedly stated in public that
they have *all the evidence they need*. Judges don't like getting jerked
around and the one on this case is letting it proceed such that when its
over, its over with no possibility of appeal, and the results should be
fatal.

  I've followed this case very closely and it is nothing but M$ funded
FUD against Linux. If your ED is truly worried about legal liability
Novell's SuSe is a fortress - they have some hold on SCOX and if SCOX
were to ever sue one of their customers, well, it hurts just to think
about it.




Joe Catanzaro wrote:
> 
> I was in a meeting with an executive director of our company and he stated
> that one of the reasons we haven't moved more towards Linux is because of
> the lawsuits that SCO has been threatening the Fortune 1000 companies with.
> So, my question, having not followed the details of this SCO crap is
> this,   Is there any way to implement Linux without the few pieces of code
> that SCO is calling into question? Or are they claiming they own part of
> the kernel code?
> 
> Thanks,
> 
> Joe Catanzaro
> joecatanzaro at cox.net
> 
> _______________________________________________
> OLUG mailing list
> OLUG at olug.org
> http://lists.olug.org/mailman/listinfo/olug

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