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Appeals Court Overturns 2007 Unix Copyright Decision

snydeq writes "A federal appeals court has overturned a 2007 decision that Novell owns the Unix code, clearing the way for SCO to pursue a $1 billion copyright infringement case against IBM. In a 54-page decision (PDF), the 10th Circuit Court of Appeals said it was reversing the 2007 summary judgment decision by Judge Dale Kimball of the US District Court for the District of Utah, which found that Novell was the owner of Unix and UnixWare copyrights. SCO CEO Darl McBride called the decision a 'huge validation for SCO.'" The case over who owns Unix will now go to trial in Utah.

31 of 330 comments (clear)

  1. Years of appeals by assemblerex · · Score: 5, Funny

    We'll be using quantum computers before the appeals run out.

    1. Re:Years of appeals by Thanshin · · Score: 5, Funny

      We'll be using quantum computers before the appeals run out.

      Actually, quantum computers will be using us.

      Which brings curious questions about the future and soviet russia.

    2. Re:Years of appeals by iCEBaLM · · Score: 4, Funny

      In, or out, of Soviet Russia, quantum computers use you, or you use them. It's impossible to know until it is observed.

  2. Will they never die? by mcvos · · Score: 5, Funny

    It's like a zombie infestation. Didn't scientific research recently prove that violence was the only solution to that?

    1. Re:Will they never die? by Rogerborg · · Score: 4, Funny

      Didn't scientific research recently prove that violence was the only solution to that?

      "Violence is the last refuge of the incompetent" -- Salvor Hardin, Foundation (Isaac Asimov)

      Yes, I'm sure that fictional quote will be a great comfort to you during the coming zombie apocalypse. You hippies need to live in the real world occasionally.

      --
      If you were blocking sigs, you wouldn't have to read this.
    2. Re:Will they never die? by Anonymous Coward · · Score: 5, Funny

      "If violence isn't your last resort, then you didn't use enough violence." -- The Seven Habits of Highly Effective Pirates

    3. Re:Will they never die? by Anonymous Coward · · Score: 5, Funny

      "Violence is the last refuge of the incompetent" -- Salvor Hardin, Foundation (Isaac Asimov)

      "The competent would have long since resorted to it."

    4. Re:Will they never die? by EvilNTUser · · Score: 5, Insightful

      Violence is the last refuge against the incompetent.

      --
      My Sig: SEGV
    5. Re:Will they never die? by Anonymous Coward · · Score: 5, Funny

      "Violence is the last refuge of the incompetent"

      Of course violence is the last refuge of the incompetent. For the rest of us, it's waaaay before last. It's like third.

    6. Re:Will they never die? by Verdatum · · Score: 4, Funny

      "HOLY SHIT, A ZOMBIE!! KILL IT, KILL IT!!!" -- Salvor Hardin, Foundation (Isaac Asimov) (Upon encountering a zombie)

  3. Groklaw coverage by RedK · · Score: 5, Insightful

    http://www.groklaw.net/article.php?story=20090824142203182

    It's important to note that the Appeals court hasn't said that the copyrights do belong to SCO. They've only found that a decision regarding copyright ownership based on the APA wasn't something that should have been decided in a summary judgment and that the decision should've been made during the jury trial.

    --
    "Not to mention all the idiots who use words like boxen."
    Anonymous Coward on Monday August 04, @06:49PM
    1. Re:Groklaw coverage by growse · · Score: 4, Informative

      Novell Response
      Novell points out that the Judge affirmed the payment ($3million) SCO was ordered to make to Novell, so there's hope yet.

      --
      There is nothing interesting going on at my blog
    2. Re:Groklaw coverage by san · · Score: 5, Interesting

      Hardly. Considering SCO still owes Novell, and that this ruling only overturns a summary judgement, doesn't make Novell's copyright claim much weaker.

      This case is not about end-users, but about whether SCO even has standing to begin to sue Linux end-users. Which it doesn't (the nature of their copyright deal with Novell was pretty clear, but apparently not enough for a summary judgement).

      In the very unlikely event that SCO wins this case, big end-users like IBM may again have to begin to worry about defending against SCO's bizarre claims.

      Until then, this case has about as much impact on Linux users as one of the many claims against Apple, Microsoft or Sun have on their respective products' end users.

    3. Re:Groklaw coverage by Nursie · · Score: 4, Interesting

      Regardless of where this one goes, I'm not sure that opening up the path to renewed litigation against IBM could ever be seen as a good thing.

      They'll be ripped to pieces the moment that starts. They're called the Nazgul for a reason.

    4. Re:Groklaw coverage by Jason+Levine · · Score: 4, Interesting

      Not to mention the fact that SCO might not survive long enough to persue the case against Novell. They're in Chapter 11 already and McBride & co have been kicked out in favor of a bankruptcy trustee who is likely to move SCO into Chapter 7. There it will be taken apart and the pieces sold off. Even if SCO avoided Chapter 7, the $3 million SCO payment to Novell was upheld. So SCO would have huge debts to pay off while fighting a legal battle against Novell. Even if they somehow survived that, IBM's Nazgul... I mean lawyers are waiting on the other side. The average Linux shop won't have anything to worry about from SCO for *years* even under SCO's best case scenario.

      --
      My sci-fi novel, Ghost Thief, is now available from Amazon.com.
    5. Re:Groklaw coverage by Anonymous Coward · · Score: 5, Funny

      Wasn't there some line about SCO having entered an ass kicking contest against a monster with eight legs and no ass (IBM) ?

  4. Re:Is it by CozmicCharlie · · Score: 5, Informative

    It's no big deal. Really. The appeals court did say that New SCO owes Novell a bunch of $$. ($ they already spent.) The rest goes to trial. And this ruling has nothing to do with the IBM case. IBM has maintained all along that there was NO infringing code. SCO will likely be gone long before this ever gets settled.

  5. Do we need to rehash this? by Anonymous Coward · · Score: 5, Interesting

    SCO released a Linux distro, thereby waving any rights to pursue Linux vendors for copyright violations [at the time]. If people inserted UNIX code *after* SCO was involved then maybe there is a case...

    But you can't try and release a distro, profit from it, then sue later saying the distro which you licensed under GPL included your copyrighted [non-gpl] code...

  6. Unsurprising, but.... by idiotnot · · Score: 4, Insightful

    ....all this means is it'll have to go back to trial to decide the issues. I kind of figured this would happen; Kimball's summary judgment was premature.

    (yes, I skimmed through the long-ass PDF)

    The same verdict as Kimball granted could potentially be reached again, this time with a full court proceeding. What it does do is delay the other cases even longer, as the Novell case decision is really required before any of them can proceed.

    See you in 2012.

    1. Re:Unsurprising, but.... by Jason+Levine · · Score: 4, Funny

      Wait, isn't the world supposed to end in 2012? I can see it now: SCO will win the trial and the resulting warping of reality will cause pigs to fly, hell to freeze over, Linus to switch to Windows, human sacrifice, dogs and cats living together... mass hysteria!

      --
      My sci-fi novel, Ghost Thief, is now available from Amazon.com.
  7. NOT ! by frith01 · · Score: 5, Informative

    Appeals court only determined that the contract is a mess, and cannot be interpreted on its own. The court agreed that SCO owes Novell a large portion of the
    money it received from SUN , and that a full trial is required to figure out the rest. Again this is just more delay for SCO, but SCO will soon be in Trustee-ship under chapter 11 bankruptcy, which means that it is HIGHLY likely that these cases will be closed by SCO itself, and settled in favorable terms to Novell & IBM.

    Darl will not be in control of SCO once the trustee is assigned, and then we'll really get to find out who's been behind this mess.

  8. Re:Groklaw coverage - no change of copyright ever. by Anonymous Coward · · Score: 5, Informative

    Note that:

    1- Novell board voted not to approve sale of any UNIX copyrights before this APA deal ever was signed.

    2 - Santa Cruz Operation (original SCO) never took Novell to court at all (maybe they knew that the APA and Amendment were both clear to them and that they didn't get copyrights)?

    3- The original SCO (Santa Cruz Operations) never did not do a final transfer of copyright paper work from NOVELL. That paperwork never happened, and Santa Cruz Operations never changed the UNIX code to show they had registration rights to the code). So they KNEW something.

    4- Santa Cruz Operations SEC filings never said they owned UNIX ever. DARL when Caldera/newSCO/The SCO group did say this in their SEC filings (why the change of tune, when the one who did the deal never declared this in SEC filings at all)?

    5- DARL and newSCO (TheSCO Group who became TheSCO Group by changing their name from Caldera), asked Novell for the copyrights BEFORE trying to sue LINUX users and IBM, etc.

    6 - Santa Cruz Operations after the deal only collected 5% income from sales so why did they need the deal when Santa Cruz Operations already had RIGHTS to develop a "branch of Unix", why pay more money to do the same thing? Hmm, maybe to use the LIST of licensees that they go to market something else to the list (like Tarantella)?

    7 - So ask yourself why the US court system has to go thru an expensive trial on this at all?

  9. Re:Blah, blah, blah. by oldspewey · · Score: 5, Funny

    I made a call to Microsoft's customer support to let them know that I will continue to use Linux on every PC I own regardless of how many judges they buy off.

    I hope you realize that you took Vikram in Bangalore way off script with that support call.

    --
    If libertarians are so opposed to effective government, why don't they all move to Somalia?
  10. Payment Liability Affirmed, Ownership Remanded by edgarmoon · · Score: 5, Insightful

    So SCO is fully liable for payment to Novell, meaning they cannot get out of bankrupcy that easily. Ownership has not been reversed, SCO still does not own anything, that has to go to court and in the meantime SCO has to pay more money out. The question is will they continue to get investors to fund this campaign? Even if by some miracle SCO was to get the copyrights to unix, there is little if any chance they can succeed in proving any code was misappropriated by IBM. Basically all this proves is that our court system does everything in its power to make sure lawyers get all the money.

  11. Re:WOOT!! FINALLY by Insanity+Defense · · Score: 5, Informative

    Now that SCO has been rightfully named the owner of the code behind unix

    Actual facts:

    1/ The ruling leaves SCO owing Novell $2.5 Million + Interest.

    2/ The rest of the case (including copyright ownership) goes to a jury trial.

    3/ If SCO somehow wins they get no money.

    4/ SCO then gets to go ahead with the IBM lawsuit which they were losing badly.

    5/ The SCO management has been ordered (by the bankruptcy judge) to be replaced by a trustee. A trustee who may or may not continue the lawsuits. He/she may choose to try and negotiate a way out to stop the bleeding.

    6/ After the SCO vs Novell trial if the trustee pursues it there is still the IBM trial.

    So the trustee has a problem. The company money is owed to Novell and they don't have the cash to continue until the case goes to trial (which will be delayed due to the new judge needing time to come up to speed).

    Only then can they go on with the IBM trial. To make money off the IBM trial they need to have won on the key issues in the Novell trial (copyright and right to waive), they also need to beat the IBM lawyers (who are not nicknamed the Nazgul for nothing).

    Even if somehow the trustee can be persuaded to fight these cases and manages to win what are the odds that neither Novell or IBM would appeal? What are the chances that SCO can survive long enough to fight through the appeals if it comes to that?

    At most this is a lesser defeat for SCO. So long as they owe Novell the money and still have to fight the trial they are still doomed. The chances that the trustee would be willing to keep the company bleeding to fight dubious lawsuits is pretty low.

  12. Re:Stronger than "Ordinary Nazgul" by TaoPhoenix · · Score: 4, Funny

    Nah, even the ordinary Naz aren't enough here. Companies as big as IBM always have a scary "Iridium Team" or such. You know, one guy is 6'11" with the eidetic memory who serves as the walking caselaw and the bombshell woman with the 228 IQ to run the speeches. They only serve one case per year and charge $666 per hour, but they end the nonsense.

    --
    My first Journal Entry ever, in 8 years! http://slashdot.org/journal/365947/aphelion-scifi-fantasy-horror-poetry-webzine
  13. Re:Not Science by Anonymous Coward · · Score: 5, Insightful

    Asimov was not a scientist

    His Ph.D in biochemistry would disagree with you.

  14. Re:Blah, blah, blah. by KeithJM · · Score: 4, Funny

    I hope you realize that you took Vikram in Bangalore way off script with that support call.

    No, although the guy did have a strong Indian accent, he said his name was Steve. He also referred me to his manager, (also named Steve, incidentally), and HIS manager (Steve, again). They had to be in the US. What are the odds of all three guys being named Steve in India?

  15. No, fourth by gr8_phk · · Score: 4, Funny

    Of course violence is the last refuge of the incompetent. For the rest of us, it's waaaay before last. It's like third.

    No, it's 4th. Just ask the guy with the "4 boxes to defend liberty" thing in his sig.

  16. Re:wtf by ThePhilips · · Score: 5, Informative

    It's a clear case of the "badsummary". Just check Groklaw.

    As I have understood it, it was only summary judgment which was overturned. IOW, there would be a trial.

    --
    All hope abandon ye who enter here.
  17. Nobody understands that quote anymore by Tweenk · · Score: 4, Informative

    I don't know if it's the mostly American readership (a nation known for preferring violence over sex), but almost nobody here seems to understand that quote. It doesn't mean "only the incompetent use violence as the last resort", or "wars are wrong and everybody should love each other". It is not a pacifist maxim; It's more a reflection on the means of conflict. It means "if you use violence, it will be the last thing you do, and will prove your incompetence to handle the situation". The Foundation books made it clear that Asimov's definition of violence did not include things like armed deterrence, espionage, psychological manipulation, or even assassination if it meant avoiding a large scale conflict. It meant direct physical violence that results in death of people or destruction of property. In that light, violence is a proof of incompetence, because a competent leader would be able to take over the people and property to use them to his own ends, rather than destroying them.

    --
    Those who would give up liberty to obtain working drivers, deserve neither liberty nor working drivers.