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IP Attorney - Why SCO Has No Case

OSS_ilation writes "In an interview over at SearchOpenSource.com, IP attorney Thomas Carey shoots down SCO's cases against IBM and Novell, but predicts that SCO will fight a losing battle to its last. IT directors shouldn't worry about SCO Group's latest sallies in its legal war on Linux vendors IBM Corp. and Novell Inc., Clarey says, and explains why SCO has no case, predicts the open source legal fields of battle for 2006 and discusses SCO's claims against Novell. Carey chairs the Business Practice Group of Bromberg & Sunstein LLP, an intellectual property law practice in Boston, Mass." Groklaw, as always, has additional details and commentary on this.

33 of 138 comments (clear)

  1. Everybody knows that... by bubulubugoth · · Score: 3, Insightful

    The question is: Why is taking so long to the court to dismiss the case?

    --
    Â_Â
    1. Re:Everybody knows that... by Chapter80 · · Score: 2, Funny
      Is "SCO has no case" News for nerds?

      hint for moderators: I'm not bashing the editors - I'm bashing SCO!

    2. Re:Everybody knows that... by temojen · · Score: 4, Insightful

      To prevent a flood of appeals.

    3. Re:Everybody knows that... by LWATCDR · · Score: 2, Insightful

      Because everyone is entitled to their day in court. Unless the case is totally without merit it has to go to a jury.
      You know that entitled to be judged by a jury of your peers.
      Dismissed nothing. I just want it to go to trial.

      --
      See my blog http://ilovecookes.blogspot.com/ for light hearted technical information.
    4. Re:Everybody knows that... by Billosaur · · Score: 2, Insightful
      Unless the case is totally without merit it has to go to a jury.

      'Nuff said.

      --
      GetOuttaMySpace - The Anti-Social Network
    5. Re:Everybody knows that... by Mostly+a+lurker · · Score: 5, Insightful
      Why is taking so long to the court to dismiss the case?

      This question reveals a common misunderstanding about the function of the US legal system, especially in civil matters.

      The legal system is primarily designed to make money for the legal profession. Once litigation is concluded, the lawyers stop receiving money. Read Bleak House by Charles Dickens and realise that, while certain details have changed, the general situation remains the same.

      Unfortunately, I am serious. Many members of Congress are lawyers and they ensure laws are framed to maximise the profession's profits. Logical reforms never see the light of day.

    6. Re:Everybody knows that... by Shadow+Wrought · · Score: 2, Insightful

      And that's the rub. A good attorney can make a meritless case look like one with merits- agreta attorney can then go on to win. I've seen it, too. It won't happen in this case, but as long as SCO can maintain a veil of reasonable merits, the case will continue.

      --
      If brevity is the soul of wit, then how does one explain Twitter?
    7. Re:Everybody knows that... by whoever57 · · Score: 3, Informative
      If IBM wanted to get the case dismissed they probably could ... but they want it to go to trial for a couple of reasons.

      I don't think so.

      IBM submitted a number of motions for partial summary judgement and the judge either denied them or refused to consider them until after completion of discovery.

      If IBM could not get a partial judgement, it's rather unlikely that IBM could make the entire case go away, short of paying off SCO.

      --
      The real "Libtards" are the Libertarians!
    8. Re:Everybody knows that... by Frodo420024 · · Score: 2, Insightful
      The question is: Why is taking so long to the court to dismiss the case?

      Because noone wants it to. SCO wants to drag on as long as possible, and as long as they can claim any possible wrongdoing, they get to do this.

      IBM, and the Open Source community, would like a clean court victory on the issue of Linux copyrights. They have no hurry to have it thrown out of court either.

      My prediction, though, is that the case will collapse just before a final judgement can be entered. Either SCO quits, or they're permitted to go bancrupt. It was quite telling how they just managed to get another $10 million of capital recently, or they would have no chance to make it to trial. But rather than losing the trial, the money will probably run out. One may wonder who invests in this company, but I'll leave that to our conspiracy experts :)

      --
      I'm in a Unix state of mind.
  2. Well I hate to say it... by tekiegreg · · Score: 2, Insightful

    "Nothing to see here people, please move along" While the lawyer in the article states the same point made over and over by so many experts in the field outside of SCO, to the point where it would get a redundant mod on Slashdot, the article does good job of bringing many key points home for non-lawyer types to understand. If you understand the full breadth of the SCO case you probably won't find much entertainment here however.

    But all the same, SCO quit it, you're embarassing yourselves. Soon it will be beyond the hope of recovery...

    --
    ...in bed
  3. And I hate to do it, too by Benanov · · Score: 4, Funny
    SCO went after, with lawsuits, Linux customers before. Do you foresee this happening again?
    Carey: This might happen again. Hitler fought World War II until the Allies had nearly overrun his bunker. As long as investors are willing to provide the cash, SCO will sue because that is their business model. They will likely go after smaller companies as a means of controlling the cost of litigation.

    Godwin!

  4. Sooooooo... by bobdotorg · · Score: 5, Funny

    How do I get my $699 back?

    --
    __ Someday, but not this morning, I'll finally learn to use the preview button.
  5. Clearly Clarey is not Carey by digitaldc · · Score: 2, Funny

    IT directors shouldn't worry about SCO Group's latest sallies in its legal war on Linux vendors IBM Corp. and Novell Inc., Clarey says...

    SCO is fighting this losing battle for what? Press coverage?

    --
    He who knows best knows how little he knows. - Thomas Jefferson
    1. Re:Clearly Clarey is not Carey by Mostly+a+lurker · · Score: 3, Insightful
      SCO is fighting this losing battle for what?

      You must distinguish (1) why they started the war, from (2) why they are still fighting in spite of the fact that they are clearly losing.

      They started the war, with their business otherwise failing, as a gamble. They hoped for a quick settlement or a buyout from IBM to avoid the expense of litigation and potential damage to the Linux business. In that, they miscalculated, but may have felt they had little to lose anyway. The major miscalculation will be if individuals end up going to jail for perpetrating this clear scam. We shall need to wait about 10 years to know the answer to that question.

      Why do they continue to fight now, when it is clear they are going to lose? Quite simply, to delay the total dismemberment of their business. The counterclaims in the IBM case, the claims for damages in the Red Hat case, and handing over the bulk of the revenues from the SCO Source scam to Novell are going to bankrupt SCO many times over. Meanwhile, management continues to make money from their salaries and probably other opportunities.

  6. Making it appeal-proof... by rkhalloran · · Score: 5, Interesting

    The judge has already commented on SCOX's astonishing lack of evidence; he's giving them lots of rope to hang themselves on, so when he hands them their collective ass, they don't have any grounds to come back and claim they didn't get a fair chance to make their [non-existant] case. And the positive PR accruing to Big Blue for defending Linux far outweighs the cost of the legal team, especially when sites like Groklaw are doing half the analysis work for them gratis.

  7. I read it more along the lines of... by hackwrench · · Score: 2, Funny

    What's their excuse this time?

  8. Time to move to the other targets by IamGarageGuy+2 · · Score: 5, Insightful

    Time to start finding out the real reasons for this happening. The investors that have been pumping money into SCO knowing full well there is no merit to the case. This deserves an investigation. I can't think of any investors, even the most dim-witted that would put money into propping up this boondoggle unless there is another motive involved. The old adage of follow the money comes to mind.

    --
    Stay tuned for new sig...
  9. Lawyer Joke by ch-chuck · · Score: 5, Funny

    Darl could call up HandelontheLaw.com - if you've ever heard his radio show the main point is for Bill Handel to tell you you have no case. He Loves That. Anyway, here's a joke from Bill Handel's web site:

    In a recent FDA study, the United States government research physicians who were conducting studies on test drugs, administered weekly doses of Viagra to an equal number of doctors and lawyers.

    While the majority of the doctors achieved enhanced sexual prowess, the lawyers simply grew taller.

    --
    try { do() || do_not(); } catch (JediException err) { yoda(err); }
  10. Questions of fact and of law by RevMike · · Score: 5, Informative
    Unless the case is totally without merit it has to go to a jury. You know that entitled to be judged by a jury of your peers.

    It has nothing to do with merit, but it has to do with what kind of outstanding questions are involved with the case.

    The American civil law system divides the questions that come up during a litigation into two categories: fact and law. Judges are responsible for deciding questions of law. Juries are responsible for deciding questions of fact.

    If the facts of the case are not in dispute, and the case solely hinges on the interpretation of law, the judge will rule on the case directly. On the other hand, if the facts of the case are in dispute, the judge will instruct the jury to decide the facts and the judge will apply the law to the jury's finding of facts.

    The fact that the case hasn't been dismissed is because the judge is not satisfied that there are no relevent facts in dispute.

    1. Re:Questions of fact and of law by shaitand · · Score: 2, Informative

      I know that in criminal cases the jury is empowered by the constitution to judge the merit of facts AND the merits of the relevant laws in their decisions. The supreme court has ruled on this matter as well, determining that judges have no obligation to inform juries of this right but also that juries have it. Judges use this to justify instructing juries that they must rule according to the letter of the law.

      This may be different for civil cases.

  11. SCO doesnt know is defeated: Movie Quote. by bubulubugoth · · Score: 2, Interesting

    When reading about SCO, CEO that just doesnt give up... I remeber this quotes from Gladiator:

    Quintus: People should know when they're conquered.

    Maximus: Would you, Quintus? Would I?

    --
    Â_Â
  12. Re:That's really not likely by whoever57 · · Score: 3, Interesting
    They have to be able to convince the lawyers that they will be paid.

    At the moment SCO is paying. However, soon, SCO will not have to pay their lawyers any more, although the lawyers will be committed to finishing the cases (and appeals, if any). The question is: when the lawyers are no longer receiving additional cash for their services, how good will their services be?

    --
    The real "Libtards" are the Libertarians!
  13. But of course by Anonymous Coward · · Score: 2, Interesting

    Thomas Carey shoots down SCO's cases against IBM and Novell, but predicts that SCO will fight a losing battle to its last.

    Everyone knows their case is groundless. It was a poorly disguised attempt by Microsoft to discredit Linux. And as long as Microsoft is willing to funnel money into their coffers SCO will continue in this groundless legal action. This is not about law or legal proceedings, this is about one large corporation's attempts to use the legal system to kill a competitor.

    Kinda puts the lie to this recent slashdot article:
    http://slashdot.org/article.pl?sid=06/01/08/172722 5&tid=109&tid=166

    Why haven't the courts thrown this out yet? All it does is lessen credibility of the US legal system and encourage lawlessness in the American corporate sector (who, God knows, needs absolutely no more encouragement in that area).

    1. Re:But of course by Anonymous Coward · · Score: 2, Informative

      Cases generally aren't simply dismissed. Unless someone files a 12(b) motion (likely 12(b)(6): failure to state a claim), you're going to have the entire mess of discovery here. As long as there is some vague basis for a lawsuit, it's going to have to wait until there is an effective summary judgment motion.

  14. Anti-gravity by rumblin'rabbit · · Score: 2, Interesting
    SCOX, the SCO Group stock, has been hanging around $4 for quite some time now. Their (legitimate) Unix business is optimistically worth $.50 per share, and pessimistically worth nothing. Thus the stockmarket puts a value on their IP claims of over $3.50/share, or around $60 million dollars.

    Now I've invested in stocks for two decades, and I say no vaguely rational investor would touch this stock. It is speculative beyond belief.

    So what keeps this stock up? And why has the stock price been so steady over the last few months? Such a wild speculation should fluctuate madly.

    Queue the conspiracy theories.

  15. Refunds? by RickPartin · · Score: 3, Interesting

    What about the people who were tricked into or were forced by an employer into buying a license? Has SCO said whether they will refund the money?

    1. Re:Refunds? by Hasai · · Score: 2, Funny

      Oh, now that's just too funny.

      ....

      You are kidding, right?

      ....

      O.K.; look at it this way: SCO eventually loses it's case, and the court tosses the firm to the lions, aka Novell, Red Hat, and IBM, who promptly reduce SCO to a smoking hole in the ground.

      Said licensees come shuffling up to previously described smoking hole and whine "I want my money back."

      Think they'll get a response?

      }XD

      --

      Regards;

      Hasai

  16. No-one is beyond recovery... by jd · · Score: 5, Funny
    Welcome to this meeting of IPaholics Anonymous, where people share their experience, strength and hope in their battle against their addiction to Intellectual Property lawsuits. Here are the twelve steps, adapted from other recovery programs.


    1. We admitted we were powerless against Open Source initiatives, that our contempt for common folk and peasents had become unmanageable.
    2. We came to believe that a sharing methodology greater than ourselves could restors us to sanity.
    3. Made a decision to turn our will, lives and FTP address to Freshmeat, as we understand Freshmeat.
    4. Made a searching and moral inventory of what sourcecode we actually have and own.
    5. Admitted to ourselves, Slashdot and Richard Stallman the exact nature of our licensing errors.
    6. Were entirely ready to let the OSI and the FSF remove these defects of proprietaryness.
    7. Humbly asked /dev/null to remove our closed licensing agreements.
    8. Made a list of all people we'd totally ripped off and became willing to send upgrades to them all.
    9. Directly sent their IT departments the necessary patches, except when to do so would break something else.
    10. Continued to grep license files and when they were closed, promply GPL them.
    11. Sought through LinuxFest and Slashdot to improve our concious contact with the F/LOSS meme as we understood F/LOSS, asking only for Linus Torvald's will and the processing power to carry that out.
    12. Having had a sourcecode awakening as a result of these steps, we tried to carry this message to compulsive proprietary coders and to practice good coding in all our affairs.

    --
    It's a small world and it smells funny; I'd buy another if it wasn't for the money; Take back what I paid (SoM)
  17. Extra bonus points by Weaselmancer · · Score: 2, Funny

    ...for successfully using "boondoggle" in a tech based forum. You scallawag! ;^)

    --
    Weaselmancer
    rediculous.
  18. A change in direction. by Jaywalk · · Score: 2, Interesting
    Has SCO actually shown that its UnixWare System V code exists in SuSE Linux or another distribution?

    Carey: SCO has not shown that its code exists in Linux. SCO now seems to be grounding its case on 'unauthorized disclosures', which is a very different kettle of fish than copied code.

    This seemed to me to be the only really interesting bit in the piece. IBM has asked (and is expected to ask again) for the judge to enter a "summary judgement" that Big Blue's Linux activities do not infringe SCO's copyrights. If that happens, any copyright issues will be dropped from any jury trial. By avoiding the copyright issue, SCO appears to be looking for a way to still get to trial in spite of a summary judgement. But this also disrupts their claims against Linux.

    While SCO likes the vague term "intellectual property" the law only recognizes three items in that class: copyrights, patents and trade secrets. SCO has never claimed patents or trade secrets, so that leaves copyright. If SCO can't establish copyright, they have no hold over anyone except those with whom they have a contract.

    While the court cases with Novell and IBM may drag on for years, this -- as far as Linux is concerned -- is another step into irrelevancy for SCO.

    --
    ===== Murphy's Law is recursive. =====
  19. Did ya notice... by WheelDweller · · Score: 2, Interesting

    That after a big setback, SCOX goes to $2.00 a share, and when it's been at $4.00 a share for a week or two, we heare more about the case again? This is the 2nd or 3rd cycle of this.

    Someone's losing a LOT of money here. Usually investors ebb and flow in increments; this is more like a switch. Who in their right mind would keep funding this shell of a company?

    --
    --- For a good time mail uce@ftc.gov
  20. Lawyers and IT - true story by Flying+pig · · Score: 3, Funny
    I got phoned up at work once by an acquaintance who was a commercial lawyer in a large corporation.

    "I've been told we're going to sue NEC. Who are NEC?"
    Me: "A large Japanese computer manufacturer. Why?"
    "Apparently our new system doesn't work."
    Me: "That sounds like software. NEC make hardware. Doesn't the hardware work?"
    "Apparently the software supplier went bust, so we're suing NEC"
    Me: "That doesn't make sense."
    "The thing is, have they got a lot of money?"
    Me: "I imagine they have huge amounts of money."
    "Oh good, that'll keep us busy for a while then."

    The reaction of lawyers everywhere.

    --
    Pining for the fjords
  21. Re: PSJ motions likely coming back by rkhalloran · · Score: 2, Informative

    The judge's dismissal of IBM's motions for partial summary judgment were based on discovery not having completed yet. He made comments at the time that indicated he would be quite willing to revisit them once discovery had closed.

    That was on Dec 22. Expect them to resurface.