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SCO Invoices For Unix Licenses Get Closer 588

beggs writes "BusinessWeek, InfoWorld and the EE Times Online all have stories about SCO's plans to send out license invoices to Linux vendors for 'Unix license fees for Linux.' The experts advice: Wait and see what happens with the court cases before you pay." RowLowy points to ZDnet's story, which says that "SCO will pursue commercial Linux users who have discussed their Linux work publicly ... However, it won't take action until it's done more research on those businesses." JayR writes to say that Michael Dell recently told a gathering of Dell investors that Dell Computer will offer no protection from SCO lawsuits to customers who buy Linux-based systems from Dell. Keep score: an anonymous reader points out that SCO executives are still selling off their stock. Total proceeds in August of over $600,000. Senior Vice President Reginald Broughton tops the list with over $300,000."
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SCO Invoices For Unix Licenses Get Closer

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  • Krusty? (Score:5, Funny)

    by BigDumbAnimal ( 532071 ) on Wednesday September 03, 2003 @11:02AM (#6858949)
    "and if my accountant is watching please STOP PAYMENT on this check"
    • Re:Krusty? (Score:5, Funny)

      by Anonymous Cowtard ( 573891 ) on Wednesday September 03, 2003 @11:06AM (#6858989)
      Incorrect, it's:

      Krusty: "And if my banker is watching, let nothing STOP you from PAYMENT on this check."
      • Worst Episode Ever!

      • by Mika_Lindman ( 571372 ) on Wednesday September 03, 2003 @11:33AM (#6859279)
        ...you get your incorrect Simpsons-quote corrected within 5 minutes.

        by BigDumbAnimal (532071) on Wednesday September 03, @11:02AM (#6858949)

        "and if my accountant is watching please STOP PAYMENT on this check"

        by Anonymous Cowtard (573891) on Wednesday September 03, @11:06AM (#6858989)

        Incorrect, it's:

        Krusty: "And if my banker is watching, let nothing STOP you from PAYMENT on this check."

    • Re:Krusty? (Score:4, Funny)

      by dark_panda ( 177006 ) on Wednesday September 03, 2003 @11:50AM (#6859435)
      More from Krusty:

      Krusty/SCO: All right, here's the deal. Every time you use Linux, you must send us... [holds up a check] 199 dollars!
      Announcer's Voice/Linux Users [fine print]: Checks will not be honored.

      - from Krusty Gets Kancelled [snpp.com]

      J
  • Yes!!! (Score:3, Insightful)

    by BJH ( 11355 ) on Wednesday September 03, 2003 @11:03AM (#6858957)
    Yay! Another SCO story. I was going into withdrawal here.

    That said, is there anyone left out there who doesn't think that SCO executives were all along trying to pull a pump-n-dump of their own stock?
    • Re:Yes!!! (Score:4, Informative)

      by paradxum ( 67051 ) on Wednesday September 03, 2003 @11:07AM (#6859009)
      I'm just waiting for mister SEC to intervene.... It's looking like just a matter of time.
    • Re:Yes!!! (Score:4, Insightful)

      by cyberformer ( 257332 ) on Wednesday September 03, 2003 @03:42PM (#6861920)
      Discussion about SCO on /. is good, but the editors need to be careful about linking to pro-SCO articles. Large online publishers love a Slashdotting (more page impressions), and many privately gloat that they resort to trolling in an attempt to drive traffic. (This is separate from the well-known problem of clueless journalists who don't know enough to dismiss SCO's claims out-of-hand, and from the even better-known problem of corrupt publishers who censor criticism of that one big company.) Links to SCO FUD ultimately result in more SCO FUD.
  • Extortion? (Score:4, Insightful)

    by FileNotFound ( 85933 ) on Wednesday September 03, 2003 @11:04AM (#6858959) Homepage Journal
    Isn't this somewhat like extortion?

    I mean demanding money for things that you had no input in? It's like me asking everyone who uses Windows to pay me because I think Ms stole my code. Hmm I think I'd have more reason than SCO actually..I did sent Ms some beta bug reports...
    • Re:Extortion? (Score:3, Insightful)

      by gl4ss ( 559668 )
      well, it is.

      but now that they are starting to actually do something(demand payments) maybe someone will drag them to court over it(hopefully) in usa too.

      -
    • Re:Extortion? (Score:5, Insightful)

      by rusty0101 ( 565565 ) on Wednesday September 03, 2003 @11:17AM (#6859121) Homepage Journal
      Actually since you never placed an order with SCO for Linux, it is perfectly legal to send them a nice letter in response thanking them for delivering to you a product that you happen to enjoy using, but since you did not order from them, are under no legal obligation to send them any money for.

      -Rusty
    • Re:Extortion? (Score:5, Interesting)

      by Lumpy ( 12016 ) on Wednesday September 03, 2003 @11:36AM (#6859309) Homepage
      Yes it is and if my company get's one the lawyers and financial department have already said that they will instantly persue legal action against SCO.

      it is illegal to do what they are doing, and they know it.

      it's time people start suing McBribe directly attack his pockets.
      • Re:Extortion? (Score:3, Insightful)

        by Anonymous Coward
        Precisely. Until they start getting dragged into multiple courts by multiple parties, they won't stop. As it stands, there's no risk in what they're doing. Now, it's true that IBM and Red Hat are suing them, but there need to be more. Not only will this have the effect of putting them in legal jeopardy, but it will also deflate their stock price, which also hurts them.
    • Re:Extortion? (Score:4, Interesting)

      by J. J. Ramsey ( 658 ) on Wednesday September 03, 2003 @11:36AM (#6859313) Homepage
      "Isn't this somewhat like extortion?"

      Considering what we know of SCO's "evidence" against Linux, it's more like fraud: trying to use false pretense to get money.
      • Re:Extortion? -- YES (Score:4, Informative)

        by screenrc ( 670781 ) on Wednesday September 03, 2003 @12:57PM (#6860207)
        Extortion is when you use fear to extract money
        from people you have no prior business relationship,
        and without giving reasons why they legaly have
        to pay you. I am sorry, "pay so I don't report
        you to the authorities", or "pay so I don't
        sue you" is illegal. It is simple extortion,
        as plain as it can possibly be.
    • by tarranp ( 676762 ) on Wednesday September 03, 2003 @12:05PM (#6859558)
      If you get one of these letters, I suggest you go to this link:

      https://www.usps.com/postalinspectors/fraud/Mail Fr audComplaint.htm

      Essentially, sending a fraudulant invoice through the US mails is a crime:

      "Extortion (18 USC 873, 876 & 877)
      Postal Inspectors investigate extortion and blackmail when demands for ransoms or rewards are sent through the U.S. Mail. Inspectors also strictly enforce laws prohibiting mail that contains threats of kidnapping, physical injury, or injury to the property or reputations of others

      Mail Fraud (18 USC 1341, 1342 & 1345; 39 USC 3005 & 3007)
      The Postal Inspection Service is committed to protecting postal customers from misuse of the mail. Inspectors place special emphasis on mail fraud scams related to advance fees, boiler rooms, health care, insurance, investments, deceptive mailings and other consumer frauds, especially when they target the elderly or other susceptible groups."

      The guys who investigate it are U.S. Postal Inspectors, who have very draconian powers, and have very wide-ranging jurisdiction.
    • by Goody ( 23843 ) on Wednesday September 03, 2003 @12:31PM (#6859899) Journal
      If this truly is exortion, then shouldn't the SCO executive team be sent to federal "pound-me-in-the-ass" prison ?

      Is prison rape still not funny as some Slashdotter so adamantly posted [slashdot.org] last week ?

  • by Brahmastra ( 685988 ) on Wednesday September 03, 2003 @11:04AM (#6858963)
    In Germany, SCO got fined $10,800 for one offense. If they send multiple extortion letters, they will be fined for each letter. Or alternately, I hope the US courts wake up and follow the lead of the German courts.
  • End in sight ? (Score:5, Interesting)

    by Alain Williams ( 2972 ) <addw@phcomp.co.uk> on Wednesday September 03, 2003 @11:04AM (#6858966) Homepage

    • SCO executives are still selling off their stock. Total proceeds in August of over $600,000.

    So will they relax a bit and stop hounding us when the last executive has sold his last share ?

  • by Anonymous Coward on Wednesday September 03, 2003 @11:05AM (#6858978)
    lots of companies don't pay invoices unless they quote a purchase order number which matches the invoiced amount to within 5%
    • by Kurt Gray ( 935 ) on Wednesday September 03, 2003 @11:40AM (#6859350) Homepage Journal
      But here's the point most readers here are missing: There are enough companies out there who are dumb enough (or have enough money to throw around without a care) to pay the invoice and that's all SCO is hoping for, a little more revenue plus a little more legitimacy in the eyes of the industry punditocracy as SCO will start reporting how much revenue they've gotten from "Linux licenses".

      It's sad and funny to see a publically traded company resort to an ages-old scam [fraud.org] in order to get revenue. Anyone who gets an invoice should contact the National Fraud Information Center.

    • lots of companies don't pay invoices unless they quote a purchase order number which matches the invoiced amount to within 5%

      Note to self: overcharge my corporate customers by four percent every time.

  • It's Obvious (Score:4, Insightful)

    by Red Rocket ( 473003 ) on Wednesday September 03, 2003 @11:06AM (#6858996)

    Corporation have WAY too much control over the legal process and society. They're wielding their greed-drunk power without any thought for anything except their profit.
    Remember "No Face" from Spirited Away? Think about it. Better to keep them out of the bath house.
    • Re:It's Obvious (Score:3, Interesting)

      by mormop ( 415983 )
      Corporation have WAY too much control over the legal process and society.

      A society can only be ruled over with the consent of the people and the art of any "democratic" government is to perfume the shit they dump on people so no-one smells it's presence. Only when the whole population is up to their ears in it does it seem to spark them into action.

      Whether or not anything can be done about it is down to the American people but I believe that Lincoln stated that (and I'm para-phrasing heavily here) If the
    • Not so obvious. (Score:5, Insightful)

      by ratamacue ( 593855 ) on Wednesday September 03, 2003 @11:46AM (#6859400)
      Give credit where credit is due: This is the result of an overly complex, ambiguous, highly exploitable system of law. We are looking at a problem with government, not the corporations which are only playing the hand they've been dealt.

      If we want to address the problem, we need to cure the disease. Attacking the symptoms won't do a damn thing to change the way things work.
      • Re:Not so obvious. (Score:5, Insightful)

        by Red Rocket ( 473003 ) on Wednesday September 03, 2003 @11:56AM (#6859488)

        We are looking at a problem with government, not the corporations...

        Exactly. And the problem with government is that it's been taken over by the corporations. "We the people" no longer run the government so corporations are getting out of control. Extremely bad behavior is being rewarded with extremely high profits (Microsoft) or increased stock prices (SCO).
  • by VivianC ( 206472 ) <internet_update@ ... o.com minus city> on Wednesday September 03, 2003 @11:06AM (#6859000) Homepage Journal
    Sure, we won't sue linux companies [slashdot.org]. We are going to go straight to billing them!

    So I guess they weren't lying!
  • by DG ( 989 ) on Wednesday September 03, 2003 @11:10AM (#6859031) Homepage Journal
    ...make great toilet paper.

    Although they may not flush well after use - better to send them back from whence they came, once you got your use out of it.

    Please use a plastic-lined envelope - no need to punish the poor mail carrier for SCO's stupidity.

    DG
  • by smd4985 ( 203677 ) on Wednesday September 03, 2003 @11:10AM (#6859035) Homepage
    before you flame me - hear me out. i was just talking to my workmate, and he exclaimed 'SCO is awesome'. i was a bit taken aback, but after he explained himself i agree.

    it goes a little something like this: SCO is awesome because they guys are just so UTTERLY ridiculous. as idiotic as their thinking is, you have to respect the confidence they have to send out invoices. it is sort of like those poor flys and insects who are attracted to the bright lights of a bug zapper - as many times as they've seen their comrades electrocuted, they still have the wherewithal to fly directly to their deaths. well SCO, you haven't got long to live, so you might as well go out with a bang.

    feel free to send me that invoice, by the way, i'm out of toilet paper :) ....
  • by joostje ( 126457 ) on Wednesday September 03, 2003 @11:10AM (#6859041)
    I'm sueing too:
    • Slashdot for first making me a sco-story addict, and then leaving me for hours, sometimes even days [slashdot.org] without sco story.
    • ezines [computerworld.com] for reporting in favour of SCO, and thus spreading the slander
    • US government, for not sending nukes to Lindon, Utah [terraserver.com].
    • SCO, for not sending me an invoice (I Want One Too! [newsforge.com])
    • Myself, for replying to an SCO-slashdot post.

    BTW, Darl, I'm looking for a new job. Considering that I have no legal experience whatsoever, can think of loads of silly lawsuits in under 5 minutes (see above), I think I'll fit in perfectly with your legal team.

  • by eddy ( 18759 ) on Wednesday September 03, 2003 @11:13AM (#6859074) Homepage Journal

    This is the most interesting thing I've seen so far today: "Docket Text: Return of service executed re: Subpoena served on Canopy Group c/o Ralph Yanno on 8/26/03" -- here [uscourts.gov].

    Could this be IBM going for the neck of the hydra? That would be... wonderful.

    • by Rosco P. Coltrane ( 209368 ) on Wednesday September 03, 2003 @11:18AM (#6859129)
      Docket Text: Return of service executed re: Subpoena served on Canopy Group c/o Ralph Yanno on 8/26/03

      The guy's name is Ralph Yarro actually. I happen to have met him personally when the Canopy company I worked for held its last Christmas party and he's definitely your typical hateable VC investor.

      Good for him if he gets into trouble. That'll make my company's 7 rounds of layoffs in 2 years easier to swallow.
    • by Soko ( 17987 ) on Wednesday September 03, 2003 @11:38AM (#6859330) Homepage
      That would be wonderful, but is, of course purely speculative.

      Many have said that SCO picked the wrong company to start this little fiaSCO with, and this might show exactly why.

      Given the nature of the IBM legal team, it's possible that they're not just going to remove SCO from threatening Linux and AIX (and by extention a major slice of IBMs business future) but the people pulling SCOs strings.

      BTW, that should be Ralph J. Yarro, I think. Do a google search on Ralph J. Yarro - the first page is almost all links to "insider trading" going on not only SCO, but Altiris as well.

      Soko

    • Very interesting web page.

      The thing that makes this even harder to swallow is that there are 41 motions on that website that have been filed, and you know that each and every one of them has cost each side thousands of dollars just to have some guy read it and respond. Thats at least a half a mil on both sides (probably much more), just to deal with the paperwork. And that doesn't include any of the time for discovery, depositions and other preliminary crap before the trial even begins to be considered
  • by Kjella ( 173770 ) on Wednesday September 03, 2003 @11:14AM (#6859081) Homepage
    ...you can refer to when SCO start FUDing about "liability for Linux customers"?

    If Audi stole Honda's copyrighted engine design, would Audi owners be sued because they their car contains a part that is the result of copyright infringement? No.

    Isn't there some law, some precedence you can easily refer to and dismiss this as FUD? It'd do a lot to stop (corporate) Linux end-users from worrying.

    Because, even if all of SCOs wild claims are right, I still don't see how there is any possible grounds for customer liability. But I've yet to see a piece of legislation that actually says so.

    Kjella
    • by swillden ( 191260 ) * <shawn-ds@willden.org> on Wednesday September 03, 2003 @11:23AM (#6859183) Journal

      If Audi stole Honda's copyrighted engine design, would Audi owners be sued because they their car contains a part that is the result of copyright infringement? No.

      You can't copyright an engine design. Substitute "patent" and your comment makes sense.

      I still don't see how there is any possible grounds for customer liability. But I've yet to see a piece of legislation that actually says so.

      Doesn't matter. It's SCO's responsibility to find a law that says they can hold the customers liable, not our responsibility to find one that says they can't.

    • by Java Pimp ( 98454 ) on Wednesday September 03, 2003 @11:32AM (#6859276) Homepage
      From a previous post of mine ...

      ... This is a point that I think is very important and I don't see it mentioned here too often. Copyright law provides certain protection to the author of copyrighted works. The copyrighted works cannot be used beyond the normal "fair use" provided for by copyright law without the "express writtten permission" of the author.

      The GPL provides this "express written permission" by the author and outlines the terms and conditions under which the permissions are granted. If the terms are not agreed to then the permissions are not granted. Any other use is in violation of the GPL "contract" and also copyright law!

      Let's assume that Linux in fact DOES contain SCO code. There are two options. Remember that Linux existed and SCO code would have been added. SCO has two choices: 1) release their additions under the provisions of the GPL and be in compliance. 2) actively move to identify and remove the IP from the Linux code base and prosecute whoever was responsible for breaching SCO's intelectual property.

      They cannot leave their IP in Linux and not release it under the GPL let alone try to license it. That is a violation of the GPL as well as a violation of the original author's (Linus's) copyright on Linux itself.

    • I personally think that the code should be removed, but here is an analogy that perhaps better exemplifies SCOs position.

      I own a service that provides access to some information (stocks, sports scores, credit card tracking info, whatever)

      Bob gets an account at my service, and writes a program that logs in under that account, and displays it with some fancy graphics, perhaps even does some significant analysis (or just displays the raw data, it doesn't really affect the argument)

      Bob sells or gives this pr
  • Can't wait... (Score:5, Insightful)

    by Anonymous Coward on Wednesday September 03, 2003 @11:14AM (#6859084)
    As a state agency, I'd suspect it'd go something like this...

    Finance Manager: Got this invoice from SCO for some linux licenses, but it doesn't reference a Purchase Order number.

    Me: We never ordered anything from them

    Finance Manager: Do we use this Linux thing?

    Me: Yes, but we bought it through Redhat, here is the approved purchase orders and copies of our payment vouchers

    Finance Manager: So we have no business relationship with this company, nor received any goods or services from them?

    Me: No

    Finance Manager: Thanks, I'll forward it to the state attorney general's office for investigation.

  • Legality (Score:4, Insightful)

    by Crashmarik ( 635988 ) on Wednesday September 03, 2003 @11:14AM (#6859090)
    At the very least sending fraudulent invoices, and misrepresenting a disputed issue must be a criminal action ?

    What does sco's staff consist of ? Every loser that the canopy group could find ? Do they all figure that knowingly participating in a criminal conspiracty won't have repercussions for them.

    If you work at SCO and are reading this, ask yourself why isn't Microsoft willing to do its own dirty work and do you think they will come to your rescue if this hits the fan.
  • by goldspider ( 445116 ) on Wednesday September 03, 2003 @11:16AM (#6859106) Homepage
    After this long, do you really think that SCO execs are so stupid to actually think their company will come out on top after all is said and done?

    The probable truth is that SCO is getting free press every day, and /. is certainly no exception there. Didn't it ever occur to folks here that press is all they're looking for?

    SCO bigwigs don't expect their company to pull through this, and they don't really care. All they're doing is keeping their company in the news and giving current and potential investors the impression that they are an aggressive, profit-driven company.

    Once they have deemed that investors have thrown enough money their way (and driven the stock price high enough), they will bail. This will end with SCO a flaming wreck, and its executives rich, and that's ALL they want.

  • by teamhasnoi ( 554944 ) * <teamhasnoi AT yahoo DOT com> on Wednesday September 03, 2003 @11:17AM (#6859117) Journal
    when IBM was going to do something about SCO and their claims. Her response was a very simple drawn out, "Yeeaah, right".

    From this I gathered that IBM is doing the bare minimum they need to, and are letting SCO burn itself out. I also postulated that Arnold Schwarzenegger was refusing to be in the California debates to distance himself from the pack of other contenders, and raise his importance/stature above that of the masses.

    Just like IBM, to fit so much information in a very small space.

  • by noscule ( 703970 ) on Wednesday September 03, 2003 @11:18AM (#6859131)
    First off, SCO would have to pay value added tax (VAT) on every invoice it issued (in the UK this would amount to 17.5%) which is a pretty major disincentive to start sending out invoices you have little chance of collecting. There is also the question (which is open) as to whether they would be committing the criminal offence of obtaining a pecuniary advantage by deception.
  • by fruey ( 563914 ) on Wednesday September 03, 2003 @11:23AM (#6859180) Homepage Journal
    Mentioned in the article:

    brinkmanship

    The practice, especially in international politics, of seeking advantage by creating the impression that one is willing and able to push a highly dangerous situation to the limit rather than concede.

    Soon to be replaced by SCOmanship.

  • by Empiric ( 675968 ) * on Wednesday September 03, 2003 @11:23AM (#6859186)
    Please note that to have any basis whatsoever to bill you, SCO needs to demonstrate not only that "Linux" infringes, but that your build of Linux infringes. They haven't remotely done the first, much less the second.

    And that's even if an end-user could be found liable, as the often-mentioned reader-of-an-infringing-New-York-Times analogy addresses.

    As it stands now, this is analogous to a company that sells classical music billing you because they've heard you have classical music in your CD collection, and it's absurd.
    • Your comments on music CDs makes me think of past cases where a musician has been sued for copyright infringment. You didn't see the artist who was claiming his work was infringed upon trying to sue music buyers (or even the music stores that sold the item).

      In my opinion, the real problem with SCO billing people and companies now, before a court has even ruled of the merits of SCO's claims, is that someone probably will pay them.

  • by Anonymous Coward on Wednesday September 03, 2003 @11:24AM (#6859202)
    Some advice from the Better Business Bearau [bbb.org]


    PHONY INVOICE SCAMS

    The anatomy of a typical phony invoice scheme is as follows:


    The Call:

    While there is no set formula for these invoice schemes, most involve the use of an initial telephone contact. The call helps the swindler obtain the names of key business contacts, as well as some important details about the operation of the business and its products or services. The persons making these calls are, for the most part, remarkably smooth operators. Often brazen and forward in their approach, they have been known to talk their way through a chain of receptionists, secretaries, assistant managers, supervisors, and vice presidents to gain access to heads of companies. In most cases, however, they need gain access to only lower-level employees.


    The Invoice:

    The con artist's next contact with the intended victim usually comes in the form of a phony invoice sent through the mail. The invoice, which includes names, figures, and other details that add to the appearance of legitimacy, may be paid unwittingly along with a number of other routine bills. In many cases, the amount of the invoice is just small enough to slip by the check writer's attention. The swindler has had considerable experience calculating the most effective dollar amount, depending on variables such as the size of the firm, and the control it seems to have over its management system. Thousands of mass-mailed invoices, each for a small sum, may prove more luc-rative for the con artist, than several large invoices.


    The Scare Tactic:

    Scare tactics sometimes are used to increase the odds of success. A phony invoice, or past-due notice, stamped "Pay This Bill Now" or "We Are About to Start Action" may intimidate the victim into rushing to make out a check without carefully investigating the supposedly delinquent charge.


    SOLICITATIONS AS INVOICES

    One of the most common variations of the phony invoice scheme are solicitations disguised as invoices. These documents, which are actually solicitations for the purchase of goods or services, are carefully designed to look like legitimate invoices for goods or services ordered and received. In some cases, the small print may identify the bogus bill as a solicitation. The deceptive solicitation may be received through the mail, or it may be presented in person by a con artist who visits a business office on the pretext of saving the company handling charges.


    The business that pays a solicitation disguised as an invoice may receive the merchandise or service it was duped into ordering; more often, it will not, and efforts to trace the fraudulent firm that issued the "invoice" will prove futile.

  • USPS and FTC (Score:5, Informative)

    by red floyd ( 220712 ) on Wednesday September 03, 2003 @11:25AM (#6859204)
    If they're sending via USMail, and you live in the US and receive one, send a copy to the USPS Postal Inspector. That's mail fraud, and the USPS takes a dim view of such things.

    I suspect the FTC wouldn't particularly like it either... Your state's Attorney General might be interested in the extortion issue, too.
    • Re:USPS and FTC (Score:5, Interesting)

      by dmaxwell ( 43234 ) on Wednesday September 03, 2003 @11:53AM (#6859464)
      Before you do that, send them a letter asking to identify specifically which parts of Linux are infringing. Don't volunteer anything, just try to get them to elaborate as much as possible. Save all responses and their envelopes and give that to the authorities. Record any phone conversations and indicate at the start you are doing so.

      Basically, if they admit on paper that they want payment from you for unsubstantiated claims then they're toast. If they won't admit it, save the copies of that as well. It will make an excellent shield if they try to take you to court. Any refusal to elaborate also makes a good spear if they try to bring collection and credit reporting agencies into it. You'll have a libel case.

      What you want is a packet of papers that makes the scam SCO is pulling clear. The "invoice" they send you in and of itself won't mean much without the background information. Mr. Postal Inspector and A.G. probably won't know the blow by blow the way you do. They won't necessarily take your word for it either.
  • by Sri Lumpa ( 147664 ) on Wednesday September 03, 2003 @11:26AM (#6859209) Homepage

    SCO says:
    "We are going to send invoices to Linux users any time now"
    "We are going to send invoices to Linux users any day now, and if they don't pay we will SUE them."
    "We are going to send invoices to Linux users this month, and if they don't pay we will SUE them... and we MEAN IT."
    "We are probably going to send invoices to Linux users before the end of this month and if they don't pay we will give them every opportunity to pay before we sue them."

    Soon, with Apu's accent:
    "We are going to nicely send invoices to Linux users before the end of the year and if they don't pay... we will nicely send them invoices again."

    Just wake me up when there is news that somebody actually received one of these invoices, no need to make ten stories about them sending them RSN each time they threaten to send them.
    • by hackstraw ( 262471 ) * on Wednesday September 03, 2003 @12:14PM (#6859670)
      For what its worth, I just called SCO and they said that thier licences are being printed now and that they will be in next week. So expect yours in the mail soon.

      Someone else mentioned this. How can anybody be obligated to pay anything without a PO? Is it standard operating procedure for companies just to cut checks for any invoice they get in the mail?
  • by Kohath ( 38547 ) on Wednesday September 03, 2003 @11:27AM (#6859225)
    I thought mailing invoices for goods and services not rendered was called mail fraud.

    Here's the mail fraud complaint form [usps.com].

    Hint: Select "False Bill or Notice" when you fill this out.

  • SCO Sucks (Score:3, Informative)

    by ttyp0 ( 33384 ) on Wednesday September 03, 2003 @11:27AM (#6859230) Homepage
    Show your hate for SCO [anti-tshirts.com]. Get a cool t-shirt and donate to the Open Source Now Fund.
  • by Anonymous Coward on Wednesday September 03, 2003 @11:30AM (#6859259)
    They're obviously not too scared of SCO - they're hiring a paralegal [redhat.com] to take care of everything.
  • by cluge ( 114877 ) on Wednesday September 03, 2003 @11:36AM (#6859307) Homepage

    To: SCO
    From: Linux Company with many machines

    Dear SCO,

    I have here in front of me your invoice saying that I owe you a license fee. In your letter you do not say what exactly infringes upon your IP, thus making it impossible for us to remove it. Even more disturbing is that you have yet to prove that any violation of you IP has taken place in a court of law. You seem to have gotten the cart before the horse and there is no legal precedant for us to pay for any "alleged violations".

    Upon advice of counsel this letter is being turned over to our local state's attorney with a complaint. It is our feeling that SCO is attempting to illegally extort money from our organization. SCO's recent press releases are so inflated and obvioulsy false that we are going to pursue a class action civil suit and also file a complaint with the SEC. It is my personal feeling that you are no different than a mobster asking for protection money.

    Sincerely,
    Joe Linux User


    The thing that disturbs me is that some in our community think tha SCO has shown it's "best hand" at recent events. If you truly think that, then you are sadly mistaken. SCO is running a media showcase, and NOTHING is "leaked" or gets out that isn't meant to. Think along the lines of a magicians miss direction. SCO probably doesn't have a case, but it most certainly has better "code" snippets than has been shown to anyone outside of the legal and technical team bringing suit.
  • by 7-Vodka ( 195504 ) on Wednesday September 03, 2003 @11:39AM (#6859334) Journal
    This has infuriated me ever since june. That's probably when I realised that sco executives were planning a pump and dump routine.

    Isn't this against the law in some way? They're harming everyone who invested money in sco and the employees by steering it directly at a train wreck. Not to mention the slanderous lies they are spewing around everyday.

    But the high paid executives doing this don't care. They don't give one shit. They just want to get as much money out of the stock as possible in a short period of time. They're probably issuing each other multi-million dollar unsecured loans and stock options as we speak.

    What a load of thieves. If anyone deserves to go to jail it's these fuckers. If they really believed their claims had any chance of being for real they would ALL hold on to ALL of their stock, not dump it.

    And you wanna know what else makes me angry? The people who are buying their stock right now. They're the ones who make this scheme work, be it out of stupidity or whatever, by making the scox price higher. Fuck them too.

  • by Tsu Dho Nimh ( 663417 ) <abacaxi@@@hotmail...com> on Wednesday September 03, 2003 @11:40AM (#6859342)
    IBM Subpoenas Canopy and Yarro [uscourts.gov]
    Filed: 08/28/03
    Entered: 08/29/03
    Return of service executed
    Docket Text: Return of service executed re: Subpoena served on Canopy Group c/o Ralph Yanno on 8/26/03

    If they can prove that SCO was not an independent corporation, it's all over for Big Brother and his holding company. This is not discovery - that would have been against SCO.

    • Visit Groklaw (Score:4, Informative)

      by bstadil ( 7110 ) on Wednesday September 03, 2003 @02:20PM (#6861075) Homepage
      This comes from Groklaw [weblogs.com]that has a lot of interesting comments. Name is Yarro by the way.

      Interesting comment from JF

      Quote

      Unless you are using the DMCA to get rubber-stamped subpoenas like the RIAA, a subpoena means you showed a judge enough evidence to convince them that you are probably right on a point related to the case.

      The fact that IBM got a subpoena indicates that laid some pretty damning evidence in front of a judge. Any indication of which jurisdiction issued the subpoena?

      If it was the courts there in Utah, that at least SQUARES the power of the evidence in my opinion given that SCO/Canopy has the hometown advantage. J.F. 9/3/03; 11:07:56 AM

  • by FirstOne ( 193462 ) on Wednesday September 03, 2003 @11:43AM (#6859368) Homepage
    SCO by distributing linux and source code, et al, has agreed to the terms and conditions of GPL license. Furthermore, SCO has benefited greatly from usage and distribution of GPL software. GPL software is a collection of copyrighted works, whose distribution license requires the express requirement that future distribution, and usage rights may not be encumbered by the licensee.

    A few definitions from Black's law.

    "Estoppel" means that party is prevented by his own acts from claiming a right detriment of other party who was entitled to rely on such conduct and acted accordingly. Graham v. Asbury, 112 Ariz. 184, 540 P.2d 656, 658.

    A principle that provides that an individual is barred from denying or alleging a certain fact or state of facts because of that individuals previous conduct, allegation, or denial. A doctrine which holds that an inconsistent position, attitude, or course of conduct may not be adopted to loss or injury of another. Brand v. Farmers Mut. Protective Ass'n or Texas, Tex,Civ.App., 95 S.W.2d 994, 997.

    Thus by matter of record, SCO is Estopped from asserting any claims to the distribution or usage of GPL code which SCO has itself distributed. SCO is also prohibited by the doctrine of "Apparent authority" from asserting the claim that the distribution was not authorized.

    Basically, an open and shut case. SCO loses. (Defendant should seek both costs and scantions on plaintiff)

  • by dafz1 ( 604262 ) on Wednesday September 03, 2003 @11:44AM (#6859380)
    Looking through the history of 2:03cv00294/ SCO Grp v Intl Bus Mach Inc, I found the schedule for when things are going to happen.

    10/1: Amending of Pleadings
    10/22: Discovery Cutoff
    11/10: Deadline for Filing motions
    3/11/05: Attorney Conference
    3/28/05: Final Pretrial Conference for 2:30
    4/11/05: 5 Week Jury Trial

    By the 22nd of next month, SCO will have to release to IBM the offending code as part of the discovery phase. The question is how fast it will be leaked.

    And we get to watch this whole specatacle until May!
  • Send em! (Score:3, Insightful)

    by QuackQuack ( 550293 ) on Wednesday September 03, 2003 @11:58AM (#6859497) Journal
    I don't think SCO is stupid enough to actually send invoices. That could get them in legal hot water.

    I doubt most companies are going to blindly roll over and pay them. If one shows up, they'll ask their Linux salesperson, or inhouse Linux geek, who will most likely tell them not to pay it.

    As another poster pointed out, if you do actually receive one, send copies to the Postal inspector, and Attorney General.
  • by wayward_son ( 146338 ) on Wednesday September 03, 2003 @12:05PM (#6859568)
    The SCO case demonstrates the desparate need for Tort Reform in this country.

    SCO has no case. They are all smoke and mirrors. However, the money required to hire the lawyers to fight SCO will probably cost more than paying SCO. Second of all, SCO can do more damage to Linux companies than SCO is worth.

    Also, SCO's strategy of suing the end users is pure extortion. Even if SCO was right and Linux did infringe on SCO's IP, there is absolutely no legal precedent for holding the end users liable, especially since SCO will not mention the infringing code. However, the cost of fighting the lawsuit is greater than the cost of paying SCO. Extortion, pure and simple.

    The best tort reform (which would also be useful in the DirecTV case) would be to not allow the suit to be filed unless the plaintiff presented evidence of wrong doing and legal liability on the part of the defendant. Unless the plaintiff can show this, the courts shouldn't even give them the time of day.

  • by AchilleTalon ( 540925 ) on Wednesday September 03, 2003 @12:16PM (#6859696) Homepage
    since I am helding a patent on these techniques of extortion and they are not licensed to use them, they need to cease immediately any use of them or I will be in the obligation to sue them for patent, IP and copyright violation.

  • by FFFish ( 7567 ) on Wednesday September 03, 2003 @12:31PM (#6859901) Homepage
    And doesn't Texas have some arcane law about how it's legal to shoot someone if they're too damn dumb to live?

    Come, Americans. You've got more guns than you have people. Surely you can take care of the SCO problem!
  • by tz ( 130773 ) on Wednesday September 03, 2003 @12:55PM (#6860183)
    To whom it may concern:

    As you are violating the GPL by claiming some of the code you destributed is now covered by your copyright, And as I retain the copyright to a portion of the Linux code you now must license from me, I am submitting this invoice.

    Please remit $50,000 for the license to use my code as soon as possible as interest charges will accrue.

    -

    Any other Linux developer want to join in some action to bill SCO for their non-GPL use of our IP?
  • SCO routine (Score:5, Funny)

    by azaris ( 699901 ) on Wednesday September 03, 2003 @01:06PM (#6860301) Journal
    SCO: The Linux kernel has millions of lines of infringing SCO code.
    Torvalds: You're smoking crack.
    SCO: Would you believe one million?
    Torvalds: No.
    SCO: Would you believe 80 lines?
    Torvalds: Doubtful.
    SCO: How about two variables with the same names?
  • SCO legal Timeline (Score:5, Interesting)

    by Tsu Dho Nimh ( 663417 ) <abacaxi@@@hotmail...com> on Wednesday September 03, 2003 @01:15PM (#6860390)
    SCO's reply to redhat is due Sep 15.
    SCO's 10Q is due Sep 15.
    SCO's reply to IBM is due Sep 25.

    This could be an interesting month.

  • by MegaLung ( 699925 ) on Wednesday September 03, 2003 @01:29PM (#6860544)
    Where is the SEC in all this? Doesn't anybody see that this is just a floundering company's feeble attempt to gain profit. This is clearly a case for the SEC. Look at the artificially inflated stock price. The executives are selling their crappy stock at huge gains by bringing up this trumped up lawsuit. The SEC should be having a field day with SCO. These guys are criminals and should be prosecuted for such blatant, slanderous tripe. Come on system! Work! It is just like Enron. Fake company and fake profits.
  • by sacrilicious ( 316896 ) <qbgfynfu.opt@recursor.net> on Wednesday September 03, 2003 @01:37PM (#6860605) Homepage
    SCO executives are still selling off their stock.

    I'm pretty sure that SCO is going to be a great stock to hold onto. I'm hoping very much to get a job there. I keep checking their jobs page eagerly every day, but so far only the disappointing phrase "There are currently no job openings at SCO". Because so many top quality engineers are champing at the bit to work there, I will just have to be patient. I feel like a kid waiting outside a candy store that's about to open...

  • by linuxjack55 ( 536587 ) <gdtrfb55@gmail.com> on Wednesday September 03, 2003 @01:44PM (#6860673)

    Taken from page 12 of SCO's Q2 FY2003 quarterly report [sec.gov]:

    Pursuit of the litigation against IBM and, potentially, others will be costly, and management expects the costs for legal fees could be substantial. In addition, the Company may experience a decrease in revenue as a result of the loss of sales of Linux products and initiatives previously undertaken jointly with IBM and others affiliated with IBM. The Company anticipates that participants in the Linux industry will seek to influence participants in the markets in which we sell our products to reduce or eliminate the amount of our products and services that they purchase. There is also a risk that the assertion of the Company's intellectual property rights will be negatively viewed by participants in our marketplace and we may lose support from such participants. Any of the foregoing could adversely affect the Company's position in the marketplace and our results of operations.
    The ultimate outcome or potential effect on the Company's results of operations or financial position is not currently known or determinable. [emphasis added]

    This is in a footnote to the company's financials. Yet, when the company's CEO speaks publicly about the matter (and the related actions the company is taking), none of these risk factors are mentioned. Intellectual property litigation is a high-risk proposition under any circumstances. Given the convoluted pedigree of the rights involved in this case, asserting that a favorable outcome is certain -- as Mr. McBride has done with every reporter he has talked to -- is speculation of the most pernicious order, and shows a reckless disregard of his duty to provide the investing public with an accurate statement of the company's affairs.

    The conscientious exercise of that duty would seem especially important for a publicly-traded corporation where insiders or related parties own almost 50% of the outstanding stock, and millions of low-balled options are in the portfolios of executives and board members. Based on Mr. McBride's statements -- which are ultimately self-serving, since he has an interest in 800,000 options priced between $0.76 and $2.07 a share -- the price of SCOX has septupled in just six months. Whether its the product of fact or fiction remains to be seen, but there seems to be something very, very wrong with a CEO publicly contradicting the risks reported in a company's financial statement.

  • by Daniel Phillips ( 238627 ) on Wednesday September 03, 2003 @07:17PM (#6864138)
    Stowell added: "Sooner or later the invoicing will reach European companies I'm sure. We will not be limiting this to a US only market."

    This warning seems to be a clear breach of the German injunction.

    For that matter, so is the material on SCO's main web page here [sco.com], which makes the unproven allegation "customers unknowingly received illegal copies of SCO property", among other things. I can't think of any reason why the injunction would be limited to material on the German-language page, which is, after all, also served from the U.S.

"When the going gets tough, the tough get empirical." -- Jon Carroll

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