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Judge Slams SCO's Lack of Evidence

Posted by Zonk on Thu Feb 10, 2005 08:37 AM
from the look-before-you-leap dept.
An anonymous reader writes "News.com has reported that the federal judge overseeing the SCO Group's suit against IBM has voiced loud skepticism about SCO's case. "Viewed against the backdrop of SCO's plethora of public statements concerning IBM's and others' infringement of SCO's purported copyrights to the Unix software, it is astonishing that SCO has not offered any competent evidence to create a disputed fact regarding whether IBM has infringed SCO's alleged copyrights through IBM's Linux activities," said U.S. District Judge Dale Kimball." Commentary available on Groklaw as well.
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  • it is about time (Score:5, Insightful)

    by 53cur!ty (588713) on Thursday February 10 2005, @08:39AM (#11628821) Homepage
    more judges should do this and perhaps people would think before they sue
    • ....it is astonishing that SCO has not offered any competent evidence to create a disputed fact regarding whether IBM has infringed SCO's alleged copyrights through IBM's Linux activities.

      I think that sums it all up.
        • Re:it is about time (Score:5, Informative)

          by arkanes (521690) <arkanes.gmail@com> on Thursday February 10 2005, @11:14AM (#11630966) Homepage
          It's a legal concept. In the introductory stages of the trial, which is where the trial is now, the plaintiff has to show that there is a real disupte over the facts of the case. An undisputed fact is one which both sides accept to be true, and for purposes of the case is assumed to be. A disputed fact is one which is to be decided by the trial. The judge is saying that SCO hasn't presented any information or evidence by which they can make a reasonable claim of copyright infringment.
          • by davie (191) on Thursday February 10 2005, @12:48PM (#11632379) Journal

            Assertions can be disputed, facts cannot. The contradictory term "disputed facts" is just more silliness from the folks who gave us that little gem we now hear so often on the evening news: "co-conspirator".

            I wager that within ten years the illiterati of the legal profession will manage to push at least one of the following into common usage: co-teammate, co-spouse or co-associate.

    • by Anonymous Coward on Thursday February 10 2005, @08:48AM (#11628902)
      A little verbal smackdown won't do it. Instead if lawyers start getting disbarred for acts of senseless sophistry, lying and embezzeling. That will force a little forethought into the profession.
      • by OldeTimeGeek (725417) on Thursday February 10 2005, @10:01AM (#11629841)
        What do the lawyers have to do with this? They are doing what SCO hired them to do. If you RTFA (especilly the Groklaw commentary) the judge was commenting on SCO's comments to the press versus what they have provided in court.

        I don't believe that lawyers are always on the same side as the angels, but they're not the ones to blame this time. SCO is the party that brought suit - if there's smackdown to be done, SCO should be first in line...

        • by oconnorcjo (242077) on Thursday February 10 2005, @11:31AM (#11631229) Homepage Journal
          I don't believe that lawyers are always on the same side as the angels, but they're not the ones to blame this time. SCO is the party that brought suit - if there's smackdown to be done, SCO should be first in line...

          If a competent lawyer said to thier client that they don't have a case, most clients would say ok- forget the whole thing (and either drop the idea or go to a more sleazy lawyer).

          Lawyers who have sleazy clients are probably sleazy lawyers. Sleazy client says I want to sue billion dollar corporation for a billion dollars and sleazy lawyers says it will cost you xyz an hour pluss a percentage and I will do everything in my power to get what you want.

          I won't say all lawyers are sleazy BUT THIER ARE A LOT OF SLEAZY LAWYERS and if they were not sleazy to begin with, many become so with the mantra of "I am getting paid to do this despite how I feel."

          That comment may work for defense lawyers but not for prosecuting civil lawyers.

          I would say most lawyers have earned thier reputation and only a few subdivisions of lawyers I have any respect for which are:

          criminal defense attorneys
          criminal prosecutors
          Contract Attorneys (handle mostly wills/corporate agreements/house buying and selling).

          Most of the rest are worse than useless.

          When Boise was the lead prosecutor against MS, I thought he seemed like a good prosecutor and I thought highly of him.
          When he took the Al Gore election tally to the Supreme court I thought him to be doing what he moraly thought was right.
          When he decided to accept the SCO case, I lost a lot of respect for him.
          Maybe when Boise's firm decided to take the case, SCO assured Boise and boys that there was something legitimate but as this drama unfolds I have a difficult time of thinking of Boise as anything more than a pimp for hire.

    • by mwood (25379) on Thursday February 10 2005, @09:22AM (#11629207)
      Unfortunately that whooshing sound you hear is SCO jumping on this statement as evidence of bias so they can get the case moved or restarted or somehow stave off their inevitable failure a bit longer.

      Much though I agree with the judge's sentiment, I wish he had saved it for his memoirs.
      • Re:it is about time (Score:5, Interesting)

        by utlemming (654269) on Thursday February 10 2005, @09:49AM (#11629647) Homepage
        Sure they can try. But that would be an in the form of an appeal to the Federal Appeals Court. Which, btw, is not an easy task. You kinda of get an idea of Judge Kimball's attitudes when you read his legal briefs. And from the way he writes and thinks, he is a pretty tough judge. I would be intriqued to find out how many of his cases have been reversed on the appeals level. Also, when their is so much evidence to support the censor, I wouldn't worry. If there was a whole bunch of evidence, then unfair bias could be alleged, but not when SCO keeps saying there is a mountain when there isn't. Besides, this could actually be seen as an attempt to over SCO the chance to recover their case. By "warning" SCO to come up with something substantial on which the basis of their claims lie, the Court is allowing SCO the chance to actually get it "day in court." If SCO had been playing fair the entire time, SCO provided sufficient evidence and the evidence supported the claims, then I could see the case being moved or getting started up in another venue. But you have to remember, Utah is home to SCO. So finding a better home might be a little difficult.
        • Re:it is about time (Score:5, Interesting)

          by plover (150551) * on Thursday February 10 2005, @10:10AM (#11629942) Homepage Journal
          I have been wondering why Kimball hasn't granted summary judgement against SCO months ago. I think your comments give a good insight as to why he hasn't. If SCO is given every chance to present evidence and fails, there's not an appellate court in the federal system that would touch this one. He's giving them all the rope they need to hang themselves good and dead, and they're taking every inch.

          By allowing this case to proceed to a final conclusion he's making sure it will be SCO's final resting place; the coffin will be nailed, screwed, glued and welded shut. IBM's countersuit for expenses will be swift and merciless.

  • What? (Score:5, Funny)

    by WorldEnder (857782) on Thursday February 10 2005, @08:40AM (#11628826)
    What is this word "evidence" you speak of?
    • Re:What? (Score:5, Funny)

      by Anonymous Coward on Thursday February 10 2005, @08:40AM (#11628834)
      I'm not sure, but I hear you can licence it from SCO for $699...
            • Re:What? (Score:5, Informative)

              by tomhudson (43916) <hudsonNO@SPAMvideotron.ca> on Thursday February 10 2005, @09:49AM (#11629653) Journal
              Actually, they did slip a free license to Computer Associates, who protested when they found out they were listed as one of SCO's linux licensees. [osdir.com]
              InfoWorld: "Computer Associates Inc. on Thursday blasted The SCO Group Inc. for harassing Linux users and misrepresenting the terms of a software licensing arrangement between the two companies that protected CA from a potential SCO lawsuit.

              SCO Chief Financial Officer Bob Bench on Wednesday confirmed that CA was one of four publicly named companies to sign up for SCO's Intellectual Property (IP) License for Linux -- a $699 license that SCO says that Linux users must purchase in order to avoid violating SCO's copyrights.

              On Thursday, however, a CA executive said that his company had purchased no such license, but had instead acquired a large number of licenses for SCO's UnixWare operating system as part of a $40 million breach of contract lawsuit settlement in August 2003 with SCO investor The Canopy Group Inc.

              Around the time of the settlement, SCO announced that it had signed up the first customer for its Linux license. Though SCO did not reveal the identity of this customer industry speculation centered around it being CA."
    • by MooseByte (751829) on Thursday February 10 2005, @09:20AM (#11629178)

      "What is this word "evidence" you speak of?"

      Judge (in the voice of Inigo Montoya): "You keep using that word. I don't think it means what you think it means."

  • by rylin (688457) on Thursday February 10 2005, @08:42AM (#11628856)
    http://finance.yahoo.com/q?d=t&s=SCOX [yahoo.com]
    pre-trading says it's down 5%
  • Still no reaction... (Score:4, Interesting)

    by Vo0k (760020) on Thursday February 10 2005, @08:42AM (#11628858) Journal
    Let's wait till tomorrow... [yahoo.com] seems the stockmarket hasn't caught up yet :)
  • wow (Score:5, Funny)

    by Anonymous Coward on Thursday February 10 2005, @08:43AM (#11628862)
    I'm almost beginning to think that SCO is making this whole thing up.
  • Loser should pay (Score:5, Insightful)

    by bigtallmofo (695287) on Thursday February 10 2005, @08:45AM (#11628880)
    Until the U.S. adopts a "loser pays" court system similar to the UK, these types of exploratory frivolous lawsuits will continue.

    Imagine if on the other hand SCO had to pay for IBMs entire legal defense to their frivolous lawsuit after they lost. This lawsuit never would have seen the light of day.
    • Re:Loser should pay (Score:5, Interesting)

      by Anonymous Coward on Thursday February 10 2005, @08:54AM (#11628941)
      If "the U.S. adopts a 'loser pays' court system similar to the UK" small parties can be bullied into submission even easier : [company to the suing private person] "I've got more money than you, and you will be paying my expenses too, so who do you think will win, and who will be left with a debth he will not be able to pay of for the rest of his life ?"

      Actually, both systems have their ups and downs :-)
      • Re:Loser should pay (Score:5, Informative)

        by farnz (625056) <slashdot.farnz@org@uk> on Thursday February 10 2005, @10:13AM (#11629983) Homepage Journal
        You've never looked at the UK system, as it doesn't work like that at all.

        Firstly, the judge can refuse to award costs, or can award them such that the winner pays all; if a big company tries a trick like you're suggesting, a judge will probably use this flexibility. Note that under a loser pays system, the judge has to explain why they didn't award costs, or awarded them in a "winner pays" fashion.

        Secondly, if you've got a strong case, you can get a good lawyer to work for you for minimal expense; typically, they demand an up-front payment of £500-£1000 (maybe as much as $2500) to touch the case, but then works in the hope of winning the case and getting a big costs award (courts normally award your standard fee schedule, plus credit-card rate interest).

        The result is that anyone faced with a case they are likely to lose is going to settle. Where it's genuinely unclear, the courts revert to pay your own costs, and where you have an abusive but technically victorious litigant, they still pay everyone's costs.

    • Re:Loser should pay (Score:4, Interesting)

      by ForestGrump (644805) on Thursday February 10 2005, @08:55AM (#11628951) Homepage Journal
      In a loser pay system, wouldn't it be possible for SCO to spend all they have, lose the case and simply close shop?

      They're dead anyway. Might as well go out with a bang so they will be remembered in Econ text books on what a last ditch effort for funding should be.

      Grump
    • by dcavanaugh (248349) on Thursday February 10 2005, @09:01AM (#11628997) Homepage
      Considering main benefits of the lawsuit from a SCO point of view:
      • Cash from MSFT & SUNW
      • Postpone bankruptcy
      • Pump the stock so as to create an escape path for investors
      • Hopes and dreams of a buyout

      In this case, losing the lawsuit will bankrupt the company, no matter who pays the cost. If you accept bankruptcy as inevitable, and you get all of these benefits with a frivolous lawsuit, where is the deterrent? Unless the SCO gets the royal smackdown from the SEC and a whopper shareholder lawsuit, Darl and his buddies will parachute to safety.
      • by bradkittenbrink (608877) on Thursday February 10 2005, @10:43AM (#11630426) Homepage Journal
        While I agree SCO needs to be "smacked down", I don't think that will solve the problem of frivolous lawsuits. SCO's lawyers need to be disbarred. They're the real criminals here. They've known for some time that they had no evidence, yet they continue to drag things out. I don't know what the requirements on getting someone disbarred are, but this should be one of them. Making an example of these lawyers is the real way to prevent it from happening again. Failing companies will always want to roll the dice with lawsuits like this, it's their lawyers' responsibility to tell them they have no case.
    • by Entrope (68843) on Thursday February 10 2005, @09:12AM (#11629093) Homepage
      The US legal system does have recourse for someone who is wrongfully dragged into a lawsuit and wins. There are several related torts; malicious prosecution and abuse of process are two of the major ones.

      Depending on state law, you can sue the original plaintiff and attorney if there was no reasonable basis for the original claims, and be awarded your costs for both actions. It is not automatic, and therefore encourages reasonable actions rather than conservative actions. A bigger part of the problem is the gullibility and emotion of juries.

      Even if the malicious plaintiff goes bankrupt, their attorney(s) may be on the hook for your costs -- the attorney is supposed to know all the facts that support the plaintiff's case, and provide proper counsel as to the likelihood the plaintiff would have prevailed.
  • "Liar, liar, pants on fire!"
  • by veldstra (107520) on Thursday February 10 2005, @08:50AM (#11628916)
    One can only wonder what kind of good news SCO can/will make out of this... So far they've been very able to turn bad news into good news with lame excuses.
  • Prep remarks (Score:5, Insightful)

    by redelm (54142) on Thursday February 10 2005, @08:51AM (#11628928) Homepage
    I see these remarks as preparatory to a final demand for precise complaint and evidence (lines of code) under threat of summary judgement.

    I think a judge has to make these sorts of remarks to withstand appeal of summary judgement. First IBM asked, and received naught. Now the Court is asking. If it receives not, then summary judgement or dismissal with prejudice becomes warrented. IANAL

    • Re:Prep remarks (Score:5, Informative)

      by ari_j (90255) on Thursday February 10 2005, @09:26AM (#11629276)
      YANAL, but YACS (you are correct, sir). In order for a question to get to the jury, there must be a disputed, material fact. If your complaint (as in the motion starting the lawsuit) states no claim, it can be dismissed right off, but it's safe to say that SCO has crafted a valid complaint. So now the danger to SCO is summary judgment, which is a process where one side (here, defendant IBM) makes a motion for summary judgment and the court decides whether to grant it.

      Summary judgment works like this: on the basis of all the pleadings and evidence the court has so far, is there a dispute to a material fact? If not, then the undisputed material facts will form the basis for the court's ruling as a matter of law, sans jury. SCO has to create a dispute as to a material fact, and then it can get to the jury.

      It sounds to me like the judge is getting impatient with SCO.
  • by codepunk (167897) on Thursday February 10 2005, @08:54AM (#11628944) Homepage
    I think IBM can make a good case for a appeal on discovery to the 10th Circuit based on this ruling. They can even use the judgement to strengthen the case against this fishing expedition.
  • I liked this one... (Score:3, Interesting)

    by bogaboga (793279) on Thursday February 10 2005, @08:56AM (#11628962)
    [...] "There's very little that can be more disastrous to your case than an angry federal judge."[...]

    It seems the judge is very angry with SCO at this point but is also trying to remain impartial. It is suprising that in recent days, SCO stock has seen a rally. Why is this?

    • Manipulation (Score:4, Informative)

      by rkhalloran (136467) on Thursday February 10 2005, @10:40AM (#11630381) Homepage
      This stock is very narrowly held, for the most part by funds playing the "lawsuit lottery". If you track the trades, they're "laddering" small-lot trades among themselves to make it look like somebody's actually interested in this pile of steaming sewage. There's been a consistent work-up early in the trading day, followed by a slideoff and then flatline in the afternoon.

      It fell to $4.00 in pre-open trading, then promptly jumped up to around 4.60 at the opening bell, expect a close around 4.25 today. It's been consistently following this pattern the last coupla weeks.
  • by OwlWhacker (758974) on Thursday February 10 2005, @09:00AM (#11628989) Homepage Journal
    I'm surprised that SCO has been allowed to get this far without any evidence.

    Anybody could claim similar things about any company, negatively affecting that company for months on end. If the claims are finally dismissed as false, damage has still been done to the defending company.

    Is this justice?
  • by theparanoidcynic (705438) on Thursday February 10 2005, @09:08AM (#11629052)
    The SCO case has been "doomed" and "just about done" for like a year now. How long does it take to bury a frivolous case in the federal courts anyway?
  • by big-giant-head (148077) on Thursday February 10 2005, @09:09AM (#11629068)
    Our assesment of SCO's case is amazingly similar to the Judges. Maybe we're not such a bunch of losers after all.

    Besides we know that M$ is bankrolling all of this, so it was never about making money.
  • by greppling (601175) on Thursday February 10 2005, @09:11AM (#11629087)
    I think the paragraph just after the one quoted in the /. summary is even better:

    ...despite the vast disparity between SCO's public accusations and its actual evidence -- or complete lack thereof -- and the resulting temptation to grant IBM's motion, the court has determined that it would be premature to grant summary judgment [in favour of IBM].

    I am not even a paralegal, but these seem pretty strong words to make by a judge before he has decided a motion. Sounds like starting to count down the K.O.

  • by mithras the prophet (579978) on Thursday February 10 2005, @09:23AM (#11629231) Homepage Journal
    I'm sure Boies is in fact a very competent and well-accomplished lawyer. But these are the famous cases I know he's been involved in:
    • for IBM, defending against the US Govt: lost
    • for the US Govt, against Microsoft: lost
    • for Al Gore, against George Bush: lost
    • for SCO, against IBM: on the way to losing
    So it seems like he's lost both for and against IBM, and for and against the Government. That's pretty good!
    • ehh? (Score:5, Informative)

      by RelliK (4466) on Thursday February 10 2005, @12:15PM (#11631887)
      for IBM, defending against the US Govt: lost

      He successfully dragged out the case for decades until it became irrelevant and DoJ gave up.

      for the US Govt, against Microsoft: lost

      He won the case. He was not involved in the appeal, which was still won, despite Bush administration's best efforts. But that didn't stop DoJ from settling with MS on really ridiculous terms.

      for Al Gore, against George Bush: lost

      Yeah, he lost when 5 republican-appointed supreme court judges outnumbered 4 democrat-appointed judges. What exactly can a lawyer do about that?

      for SCO, against IBM: on the way to losing

      You're kidding, right? He (or his associates) have managed to drag the case out for two years without a shred of evidence. Think about it, he is handling a case in which there is no chance of winning on merits, even the judge is saying that SCO has no evidence, and yet the case drags on. To SCO delay = win, so in that sense, he is winning.

      Make no mistake, SCO has some of the best lawyers.

  • by saddino (183491) on Thursday February 10 2005, @09:57AM (#11629788)
    I have always believed that SCO was well aware that the merits of their case, in terms or real evidence (not just a handful of "similar" header files), was not sufficient to win in court.

    Darl McBride and his minions decided to go for the gambling "long-shot" that so many litigants see as an ample victory: getting the defendant to, in a cost-benefit analysis, decide its better to settle out of court.

    In SCO's case, their gamble had a nice silver lining: not only could IBM decide to settle, but in doing so (or if others believed they would do so), SCO could then easily extract miliions upon millions in licensing fees from Linux installations during and perhaps after the suit. Clearly, they tried to do this and from the numbers, failed miserably.

    So, SCO put all it's money on black to get in the black, and their number is increasingly looking red which of course will put them in the red, and effectively out of business.

    That's what happens when you gamble without a whit of common sense.
  • by frieked (187664) on Thursday February 10 2005, @10:01AM (#11629833) Homepage Journal
    ...is that there is still going to be a case. The judges statement was in response to IBM's request for a summary judgement which would have put an end to all this. The simple fact that the judge denied IBM's request means that this case is far from over.

    TheRegister gives a more newsworthy story here:
    http://www.theregister.com/2005/02/10/sco_d odges_b ullte/
    • Judges _can_ judge (Score:5, Insightful)

      by redelm (54142) on Thursday February 10 2005, @08:47AM (#11628895) Homepage
      Judges MUST start out a case totally unbiased.

      But they don't need to end up that way. In many cases, they should end up pretty negative towards one party. That's the basis for judgement.

      All dislike is not prejudice. Some is well founded.

    • by cyxs (242710) on Thursday February 10 2005, @08:49AM (#11628910)
      The Judge is not doing what Jackson did. He is not talking to the media, he is writing this in his order. Where as Judge Jackson was having meetings with media people. So this is completely different.
    • by ValentineMSmith (670074) on Thursday February 10 2005, @08:55AM (#11628950)
      ...But this judge is making the same mistake that Jackson did in the Microsoft trial.

      Do not blast the litigants until the trial is over.

      This isn't quite the same thing. The thing that Judge Jackson got in trouble for was "blasting" Microsoft in an interview outside the courtroom. He was provoked, but the things he said in that interview crossed the line. Judge Kimball is simply doing his job at this point: he's ruling on motions and actually doing SCO a favor by saying that, if they don't produce more evidence, they'll soon be finished. While this was a "blasting" of SCO, the blasting was done where it should be done: not behind the litigant's back where they couldn't reply. It was done in a ruling based on the evidence presented.

      I suppose you could say that it is showing bias, but it's bias towards the truth.

    • But this judge is making the same mistake that Jackson did in the Microsoft trial.

      The problem was that Judge Jackson made his comments to a reporter in an interview outside his duties as a judge.

      Judge Kimball is making his comments as part of his rationale of why he is denying SCO's motion. This is more of an objective observation than subjective comment.

    • Re:About time? (Score:5, Informative)

      by TomTraynor (82129) on Thursday February 10 2005, @09:11AM (#11629086) Homepage
      IBM did provide a huge pile of code. They also pointed out that SCO has all of the code as it is publicly available and free to download.

      SCO complained to the magistrate that they needed complete unfettered access to ALL versions of AIX and DYNIX. That is billions of lines of code.

      The judge even doubts that SCO has any evidence and stated that quite bluntly in his decision.

      As for efficient use of lawyer time read the history of this case. SCO has consistenly asked for and received delays. In my not so humble opinion SCO is trying to get bought out and IBM's NAZGULS are saying no we want your head on our stake.

    • by TrueJim (107565) on Thursday February 10 2005, @09:22AM (#11629205) Homepage
      I don't know why they're doing this, but I've tended to agree with others and wonder if:

      (a) SCO started this because they thought they could get IBM to buy them, making all of the SCO executives rich, but then

      (b) when IBM clearly signalled it wasn't going to fall for that old trick, SCO had to keep making a strong public appearance of a credible case in order to avoid getting sued -- or worse, SCO executives jailed by the SEC for some form of stock fraud. I.e., if they lose to IBM in a fair trial the executives can claim they honestly thought they had a case. If they simply give up and admit they never had a case, then what kind of legal attacks from shareholders or the SEC might they they open themselves up to? At this point, mayby Darl is just trying to avoid personal liability and an assault on his own personal assets.
          • by Rorgg (673851) on Thursday February 10 2005, @03:37PM (#11634478)
            There were six motions:

            1. SCO wanted a dismissal of IBM's 10th counterclaim. Flatly denied, the court says it's relevant to the main case and will be covered.

            2. IBM's 10th counterclaim for a finding of non-infringement. Denied, and this one has the "SCO's shown no evidence yet" language. The only reason covered is that discovery's not done yet. The judge doesn't even use the word "deny." He says "the court cannot grant summary judgment to IBM given the posture of this case at the present time. However, IBM is free to renew or refile its motion on its Tenth Counterclaim after the close of discovery."

            3. A SCO motion relevant to the 10th CC was rendered moot.

            4. IBM trying to strike the motions of Sontag, et al. This one is a loss for IBM, but it's not relevant to the case itself. The judge's ruling indicates that they're relevant only at this point in regards to the recent discovery motions. They have no relevance to the actual facts of the case.

            5. & 6. IBM looking for PSJ on the 8th counterclaim and SCO's breach of contract claim. Again, like the 10th, "many of the claims and counterclaims are dependent on the resolution of other claims and that judicial economy is not served in this action by entertaining dispositive motions prior to the close of discovery." No comment as to the validity of the argument.

            I count there one minor loss for IBM, one minor loss for SCO, one thing ruled irrelevant, and 3 items delayed. That's a push at worst. Add in the actual text, and it's very clear SCO's in a lot of trouble unless they come up with something in the extended discovery.