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NRF Calls SCO's Claims 'Meritless'

Xenographic writes "The National Retail Federation has just put out a press release in which their CIO concludes that SCO's IP claims are "meritless," and that Novell is the last company which can show a clear title to the code in question. That SCO's claims are meritless is hardly news to anyone who has been following this, but what is interesting is that the NRF was prompted to release this because of legal threats to their membership, specifically SCO's threats to sue "major retailers." So the businesses being menaced by SCO are banding together, making it that much less likely that SCO will be able to generate easy money from mere threats of litigation. SCO's stock, meanwhile, appears to have taken a small dive from this news. Also, you can find further details and analysis on Groklaw."

28 of 326 comments (clear)

  1. Running out of time but not hot air by erick99 · · Score: 5, Insightful
    SCO is really scrambling now to amend their suits, claims, and counterclaims and they are looking sillier and sillier. Still, there are enough "nervous nellies" in the I.T. world to allow SCO to continue to bluster and bully there way to a few more "license" bucks before the courts finally put an end to this nonsense. It's good to see the retailers to tell SCO to put it where the sun don't shine.

    Happy Trails!

    Erick

    --
    http://www.busyweather.com/
  2. At the end... by lacrymology.com · · Score: 5, Funny

    Wouldn't it be funny if when it's found that Novell indeed unquestionably owns the rights to the code, they turn around and pull a SCO on us?

    hehe he
    he
    he?
    gulp.

    -m

    --

    #
    # Modus Ponens
    #
    1. Re:At the end... by ravind · · Score: 5, Insightful

      They would still have to show some copied code.

  3. Code in question? by Anonymous Coward · · Score: 5, Insightful

    ...Novell is the last company which can show a clear title to the code in question.

    What code would this be, exactly?

    1. Re:Code in question? by Anonymous Coward · · Score: 5, Funny

      Here's a snippet:

      }
      }
      }
      }
      }

  4. Next lawsuit ... by crimethinker · · Score: 5, Insightful
    SCO will sue the NRF for slandering their claims.

    I don't get these guys. How soulless do you have to be to outright lie about what you own, when you bought it, and the terms of an otherwise perfectly clear license?

    Ooops, now SCO will sue me, too.

    P.S. If you thought GPL was "viral," listen to SCO sometime: anyone who has ever seen the SysV source code can never work on an OS again, because that makes it a "non-literal derivative." Jeez.

    -paul

    --
    Pistol caliber is like religion: everyone has their favourite, and theirs is the only right choice.
  5. How many people of come out against this?? by Chanc_Gorkon · · Score: 5, Insightful

    Ok how many people have to tell SCO to shove it before a judge does? Lemme see:

    National Retail Federation
    IBM
    Linus
    Autozone

    There are more I am sure, but I mean come on. Noone agrees with SCO (at least I have not heard of anyone). When is a judge just going to toss this crap out of court?

    --

    Gorkman

    1. Re:How many people of come out against this?? by msobkow · · Score: 5, Insightful
      The judge doesn't care how long it takes, and isn't allowed to care. If the judge shows bias through a summary dismissal,the whole mess gets tossed right back into retrial because of their "bias" against greedy, self-serving corporate and legal vultures. Judges aren't allowed to summarily rule against festering scum, no matter how obvious the guilt may be. You could videotape a broad-daylight murder, and it would still have to go through "the system."

      It's up to the lawyer to push for a quick decision, and it isn't in the lawyer's self interest to encourage a decision in reasonable time. The longer the lawsuit, the more the lawyer can bleed the client.

      Do you think any individual could get away with refusing to provide evidence demanded by the courts, and not end up in jail for contempt? The entire SCO management team should be seeing fraud charges and jail time when this debacle is finally ended, but instead we'll just see a few lawyers walk off with another porsche or two, Darl will whine about how they mislead him, and the only ones who'll really pay will be the people and businesses impacted by the fraud.

      It's the New American Way to "manage" the law. Companies like Microsoft and SCO build their very existence on treating the fines and penalties as the cost of doing business. It's not going to change until the lawyers, CEOs, and other corpororate officers are held personally responsible for their fraud and mismanagement, and jailed accordingly.

      --
      I do not fail; I succeed at finding out what does not work.
  6. one 'leet trader by BCoates · · Score: 5, Funny

    Thinks they're worth a penny a share

    (look at the bottom of the 'bid orders' section)

    1. Re:one 'leet trader by AKAImBatman · · Score: 5, Funny

      I love the number of shares requested! "31337", Priceless!

  7. The NRF is a heavy mover by DanTheLewis · · Score: 5, Informative

    (from their Mission Statement)

    The National Retail Federation is the world's largest retail trade association, with membership that comprises all retail formats and channels of distribution including department, specialty, discount, catalog, Internet and independent stores as well as the industry's key trading partners of retail goods and services. NRF represents an industry with more than 1.4 million U.S. retail establishments, more than 20 million employees - about one in five American workers - and 2003 sales of $3.8 trillion. As the industry umbrella group, NRF also represents more than 100 state, national and international retail associations.

    Yikes. One in five American workers and $3.8 trillion in Sales can't be wrong!

    Or can they?

    No.

    --

    Q: What did the comedian say to the crowd?
    A: If I knew, this joke would be funny.
  8. ..it is almost as if ... by burgburgburg · · Score: 5, Interesting
    In my opinion, it is almost as if The SCO Group's business model is to generate a revenue stream through litigation.

    Almost as if?!? I realize that lawyers include modifiers like that to lessen the chance of successfully actionable lawsuits, but come on. SCO is suing former clients, it's going through money like it's still dot.com days. For the corporation, the ONLY revenue stream is through litigation.

    Of course, for the principals, the primary revenue stream is through stock manipulation, shifting assets between Canopy elements and taking everything not explicitly nailed down. But that's personal, not business.

  9. SCO group layoffs by Anonymous Coward · · Score: 5, Informative

    In related news the SCO group lays off 275 to "re-allign" their organization.

    1. Re:SCO group layoffs by squiggleslash · · Score: 5, Informative
      In related news the SCO group lays off 275 to "re-allign" their organization
      The actual number is more like 27 or 26. From the article:
      Spokesman Blake Stowell declined to say how many were cut but said the layoff affected less than 10 percent of the company's staff, which totaled 275 employees before the cut. Jobs were eliminated across the company, including sales, marketing and engineering, he said.
      Note apparently no losses in anything related to SCO's new core business, litigation...
      --
      You are not alone. This is not normal. None of this is normal.
  10. The relevant part... by Fnkmaster · · Score: 5, Insightful
    First of all, I don't see much evidence of a meaningful dip today. If you want to talk about meaningful numbers, go click on the 3 month or 6 month chart for SCO. There's been pretty steady selling pressure on this sucker for some time now. I don't really understand how it's slid as slowly as it has, but I guess it's just a reflection of the slow process by which the media's coverage of this case has gone from asserting that SCO's IP was clearly infringed by Linux, to the inclusion of phrases like "SCO claims" and "according to SCO," prior to those claims, and, increasingly, interviews with analysts and industry figures who are pretty willing to join the SCO bashing as they all start to realize that if SCO wins, the whole economy loses, with a massive number of companies relying somewhere in the wings not just on Linux but on lots of pieces of Open Source technology.


    With a market cap of around 90 million now, this one has been a real dog for the investors. And this is a company with $65 million in cash in the bank, supposedly - that means the price-to-book ratio is getting mighty low. And their P/E is pushing down towards 20.


    For those not familiar with this stuff, that means the premium people were putting on this stock reflecting the possibility of a big (i.e. 5 billion dollar) win against IBM has basically dropped to near-zero. I wouldn't be surprised to see the whole executive team get rotated out soon or something else drastic happen to SCO. The legal battle may drag out for ages, but the market has spoken.

  11. Re:SCO's stock by Neil+Blender · · Score: 5, Interesting

    Why isn't it zero? I don't get it.

    Even if they go bankrupt, the stock will still trade for a while at a very low price like $0.00001/share. I had stock in a company that went bankrupt two years ago. At the end of last year, I sold it so I could take the loss on my taxes. The final insult in that one was paying a $65 trade fee to sell 1000 shares that were worth less than 1 cent total. I had no choice. If I wanted to claim it on my taxes I had to sell them.

  12. Re:Good ol Groklaw by kryonD · · Score: 5, Informative

    Google's results are based on a democratically perceived relavence. In other words, the reason why GrokLaw is #5 doesn't mean they have the 5th largest source of SCO stuff, it means they are the 5th most linked to site from other sites that have the word SCO on them. In otherwords, if that many people felt Groklaw was reliable enough to put links to it from their page, then Google can be fairly sure that their site holds relavence to your search.

    So yes, in theory, if a particular site could get every page on the internet to have a hyperlink to it, then it would appear #1 on every search that contained a word that was on that page, even if the page held no gramatical structure or information.

    So, no, Groklaw is not the top Anti-Sco site on the net, nor is it the 5th ranked one. It just happens to contain the 5th most relavent source of info on SCO as perceived by other webmasters regardless of whether the content if pro, anti, or just a neutral view.

    --
    I've dirtied my hands writing poetry, for the sake of seduction; that is, for the sake of a useful cause. --Dostoevsky
  13. GPL to the rescue by DaveAtFraud · · Score: 5, Insightful

    Since Novell bought SuSe they are now a Linux distributor and bound by the terms of the GPL. If Novell owns the Unix copyrights (looks like they do from what I read on Groklaw), we're all VERY safe from them attempting to pull an SCO.

    Personally, I'd worry more about "submarine" software patents that someone will suddenly complain are being infringed ala PanIP, RAMBUS, et al. You will note how easily IBM was able to find four patents for their counter-suit against SCO.

    (You can go back to worrying now)

    --
    They that can give up essential liberty to obtain a little temporary safety deserve neither safety nor liberty.
    Ben
    1. Re:GPL to the rescue by lacrymology.com · · Score: 5, Insightful

      " Since Novell bought SuSe they are now a Linux distributor and bound by the terms of the GPL."

      That never stopped SCO.
      -m

      --

      #
      # Modus Ponens
      #
    2. Re:GPL to the rescue by Tony-A · · Score: 5, Insightful

      That never stopped SCO.

      But Novell still has customers, intends to keep them, and even get more customers.

      There are reasons that enterprise-class customers will pay good money for the same bits that hackers download for free, plus a scrap of paper that vaguely mentions something about support. If it breaks, the hackers expect to fix it themselves, whereas the enterprise-class customers expect someone else to fix it without being told to Read The Fine Manual.

  14. Take a closer look... This is bigger than it seems by LocoBurger · · Score: 5, Interesting

    No, no. Not the NRF part. Sure that's significant and interesting and all..

    Look at the Groklaw link. It seems to be saying that SCO has dropped all claims that IBM did anything illegal with Linux kernel code. They're only pusrsuing the claim that IBM shouldn't be selling AIX and Dynix anymore (which is a pretty laughable claim, anyway).

    They [SCO] are not suing IBM for "IBM's use, reproduction and improvement of Linux":
    " The only copyright claim SCO has asserted against IBM is primarily for IBM's continuing use of AIX and Dynix after SCO terminated IBM's UNIX licenses."

    Has SCO backed off of all Linux claims?!?

  15. What "NRF CIO" means by wytcld · · Score: 5, Informative

    For those of you who think it's kind of odd that a CIO is offering what's a legal opinion - yes it it. The NRF is the largest retail lobbying association. But it's all just a small office in DC. (Used to have a larger office in NYC but the biggest retailers didn't like that some of their dues where going to the NY office's mainly educational mission, which was of most worth to small retail members who didn't have their own in-house educational arm. So they staged a coup in the early nineties and moved the focus just to the lobbying branch in DC.)

    Anyway, the NRF has a handful of people given the same titles as typical top retail executives, including CIO and VP of this and that. Each of these has about one person reporting to them - the title is more so that when they organize conferences in their areas they'll have equivalent rank to the top attendees. Most of the have actual backgrounds elsewhere in the departments they're posing as head of, but they're all basically retired from that and in a second career with the trade association.

    So this is not a lawyer saying this, and not even a real, current CIO. The NRF has on retainer some of the biggest names in American law. Might make you wonder why they didn't have one of them make the statement (although it's a sure bet one of them put these words in the CIO's mouth). All a bit odd....

    --
    "with their freedom lost all virtue lose" - Milton
  16. Re:Oh really? by Kierthos · · Score: 5, Informative

    Yeah, but if you check, they're not even at the level of their 52-week low. (Closer to it then their 52-week high, however.) What would break them would be a dismissal of their suit against IBM, because if that one goes, then the ones against AutoZone, etc. might as well be dismissed as well.

    Kierthos

    --
    Mr. Hu is not a ninja.
  17. Some Interesting NRF Members by DrSkwid · · Score: 5, Informative


    Verisign, Inc.
    Kmart Corporation
    GO Software
    Hewlett-Packard Company
    LexisNexis - PeopleWise
    South Dakota State University
    Washington State University
    Southern New Hampshire University

    for more see here

    --
    There are places where the networks are not touching,and there are places where they are-Boeing's Lori Gunter
  18. Significance of NRF against SCOX by MythosTraecer · · Score: 5, Interesting

    The significance of the National Retail Federation speaking out against SCOX may be deeper than some realize. One of SCO Unix's core markets (if not the only one) was/is retail point of sale systems. In the 1980s and early 90s, SCO Unix (and its Xenix predecessor) was one of the few choices available to run a POS system on affordable PC hardware. If SCO Unix has any market left, it is the members of the NRF, many of whom have large deployments of SCO Unix throughout their store chains. Who even runs SCO Unix anymore? The answer is these people. The companies in the NRF comprise the SCO Unix core market, and if SCOX plans on continuing to sell software to businesses, it needs them.

    But now, these companies, the last customers SCOX has, have turned against them. With their previously existing relationship, SCOX could have been in a good position to sell them Linux, but they have ruined that opportunity now. What tiny market SCO Unix had is gone, and any hope SCOX had of continuing to be a software company just went with it.

    On the other hand, their litigation isn't going well either. Better say goodbye, folks, because SCOX is not long for this world.

    --

    --Mythos
  19. Re:Good ol Groklaw by DickBreath · · Score: 5, Insightful

    Amazing that a website made by a paralegal can be taken as gospel.

    It isn't the paralegal's words that are taken as gospel. Those words are just opinion.

    The credibility of that opinion, and the opinion of people commenting in the discussion rests on the mountains of information that Groklaw compiles in one convenient place.

    SCO press releases. All manner of court filings. All relevant press coverage. Transcripts of court hearings. (And there is an important one comming up on May 11.) SEC filings.

    All of that information is verifiable. Just follow the collected links back to their original sources. Download scanned PDF's of court documents. Or better go to the courthouse and get your own copies of originals from the court clerk.

    Groklaw is credible because the collected facts of what SCO says in court, says to the SEC, and then says in the press paints a picture that any reasonable person can see. Too bad it is embarrasing for poor SCO to have all this information conveniently collected and available for comparison in one place.

    --

    I'll see your senator, and I'll raise you two judges.
  20. Re:Old News by jschrod · · Score: 5, Insightful
    Please note: I have mod points and could have modded you Offtopic or Overrated, what I feel completely appropriate.

    Nevertheless, looking at your article history, you don't seem to be a troll. So, one tip: Go to your preferences, and exclude Caldera from the homepage. Voila, you won't see those articles any more. Others, who want to see them because they don't have the time to read Groklaw, can leave that flag on.

    See, best of both worlds for all of us.

    --

    Joachim

    People don't write Manifestos any more -- what's going on in this world? [Frank Zappa]

  21. NRF calls SCO's claims... by Anonymous Coward · · Score: 5, Funny

    "meritless". In a later announcement, they announced that today is Wednesday.