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Caldera Government The Courts News

Report Claims SCO Intends to Charge IBM with Fraud 377

An anonymous reader writes "Now it gets interesting. According to this report, it looks as if SCO is preparing to accuse IBM of fraud, and has even opened up a web site to counter the runaway success of Groklaw. SCO's expensive attorneys Boies and Silver are apparently going to file a motion asking the court to unseal most of the documents that are currently under seal, in the hope that certain of IBM's e-mails will be seen by the outside world to tell a story about AIX, Dynix, and Project Monterey that implicates IBM in, well to be blunt, fraud. Groklaw is certain to have its own distinct view about this latest development of course."
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Report Claims SCO Intends to Charge IBM with Fraud

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  • by Nos. ( 179609 ) <andrewNO@SPAMthekerrs.ca> on Saturday September 18, 2004 @10:48AM (#10284646) Homepage
    They've got nothing, everything they do is getting thrown out of court, so they're going to try and blame IBM for that too. It will be nice to tell our grandchildren about this company named SCO that tried to profit off of others work.
  • Fraud? (Score:4, Insightful)

    by datadriven ( 699893 ) on Saturday September 18, 2004 @10:52AM (#10284661) Homepage
    Isn't that the pot calling the kettle black?
  • Money (Score:2, Insightful)

    by Anonymous Coward on Saturday September 18, 2004 @10:54AM (#10284670)
    Where is SCO getting all this money to pay lawyers? Nobody's paying the licensing fees.
  • Re:Money (Score:5, Insightful)

    by OS24Ever ( 245667 ) * <trekkie@nomorestars.com> on Saturday September 18, 2004 @11:01AM (#10284703) Homepage Journal
    I believe that the law firm has capped what they'll charge SCO until they win.

    So we'll see two bankruptcies in Utah one day.
  • by Anonymous Coward on Saturday September 18, 2004 @11:06AM (#10284727)
    > why dont the judges demand real shit by now, and why dont they hurry up the whole situation? why is this taking ages and not going anywhere soon? fuck, i dont understand this at all... the judges should be really embarrassed and blushing by now.... no matter if its the one or the other way....

    U.S. judges often give a seen-by-them-to-be-losing side LOTS of room to maneuver to avoid giving valid grounds for an appeal. A successful appeal is a professional 'you screwed up' opinion, and judges don't like that on their resume'.
  • by Anonymous Coward on Saturday September 18, 2004 @11:07AM (#10284734)
    What may be perfectly obvious to you and me may not necessarily be perfectly obvious to a judge who doesn't spend their days reading technical documents.

    And, as has been pointed out elsewhere, the more deliberation and time that is allowed the plaintiff in the case, the less likely an appeals court will even hear the case if judgement is declared against the plaintiff.

    Having said that: the US is in desperate need of tort reform, specifically in the area of class-action lawsuits, as well as some kind of deterrent to filing frivolous lawsuits/claims.
  • So this is news? (Score:5, Insightful)

    by melevitt ( 31652 ) <melevittflNO@SPAMyahoo.com> on Saturday September 18, 2004 @11:09AM (#10284742)
    A paid shill for SCO with zero credibility writes and article full of lies, half-truths, and innuendo, Slashdot posts about it, thus generating enormous amounts of traffic to the site that posts such slop.

    Well done. I'll sure they'll keep giving voice to such trash as long as they make money on it.

  • Re:Money (Score:5, Insightful)

    by eddy ( 18759 ) on Saturday September 18, 2004 @11:11AM (#10284750) Homepage Journal

    >Where is SCO getting all this money to pay lawyers?

    By defrauding investors into believing SCOX had a solid case, when in fact they didn't. Lying through their teeth about "owning UNIX", lying about the pedigree of Linux, lying about everything.

    Behind closed doors they pitched this as an "investment opportunity". They probably showed the investors the Berkley Packet Filter code, maybe some standard headers (elf.h, etc). "Look! This is a slam dunk! And there are millions of lines more of that in linux!"

    Oh, they really sold this "Linux Lottery" good.

  • by marcello_dl ( 667940 ) on Saturday September 18, 2004 @11:13AM (#10284755) Homepage Journal
    Shouldn't IBM have the ability to sue SCO for damages or at least to force them to stop all lawsuits?

    It would be ideal to have a karma system for companies who want to sue. You get some accusation points, but if the outcome of the trials determines accusations to be false, the company wouldn't get more points for a long time.
    So the damage a "bad" company can do is limited.

    I've seen a similar system used in a web site, wish I recalled the url...
  • Fraud? (Score:4, Insightful)

    by rnturn ( 11092 ) on Saturday September 18, 2004 @11:15AM (#10284760)

    Really. So IBM develops a product and promptly decides to kill it in favor of a new product they would rather persue. Apparently, SCO believes IBM was supposed to have had a brain wipe before moving onto their next project. Didn't SCO wind up with a copy of AIX-on-Itanium that they could have run with? This is fraud? I'm thinking that SCO was looking forward to merely riding along while IBM did all the difficult work of developing Monterey into a usable product. When the cache of IBM's name was no longer associated with Monterey, SCO finds they don't have the ability to make the new OS a standard. And then Darl comes along years later to cry foul.

    And, so would it be fraud, I guess, to use the fairly common practice of Company A buying competitor B's software product and then raising the license fees to levels that effectively kill it off in favor of Company A's product. Or lifting the guts of B's (now A's) software and incorporating it into Company A's product. Then leaving Company B's former customers with a product that they are unable to use on newer releases of operating systems (as Company A has no intention of keeping it up to date) and leaving them no alternative but to use Company A's product (which they never wanted in the first place).

    This happens all the time. The only difference is that most of the time it's the end-users of the software that get the short end of the stick. In Monterey's case, there weren't any users to get screwed. Only a corporation. But corporations have lawyers, end-users don't.

  • by Anonymous Coward on Saturday September 18, 2004 @11:19AM (#10284772)
    company named SCO that tried to profit off of others work.

    That's capitalism for you.
  • by talks_to_birds ( 2488 ) on Saturday September 18, 2004 @11:23AM (#10284791) Homepage Journal
    ...to realize they're not trying this in any court of public opinion.

    They're going down in flames in every court they're fighting a legal battle, and they somehow think public opinion is either:

    • going to change in their favor
    • going to matter at all after Lindon Utah is reduced to a smoking crater, salted, and plowed under
    just because people get to read some emails from IBM that (in SCO's opinion) kinda look bad.

    Actually, the way SCO's research has been going, they've totally misunderstood the meaning of the emails and as soon as they're made public SCO will have made complete and utter fools of themselves, once again...

    t_t_b

  • Re:Money (Score:2, Insightful)

    by bhima ( 46039 ) <(Bhima.Pandava) (at) (gmail.com)> on Saturday September 18, 2004 @11:25AM (#10284797) Journal
    Microsoft
  • by xyote ( 598794 ) on Saturday September 18, 2004 @11:32AM (#10284819)
    The documents they want unsealed will not show what SCO purports them to show. But SCO knows the court won't unseal the documents. But it's a nice propaganda ploy. Present impossible demands for discovery or evidence and then claim that it's someone else's fault you can't prove your case.
  • by geoff lane ( 93738 ) on Saturday September 18, 2004 @11:35AM (#10284830)
    The system may be slow but it's also expensive.

    That is the real problem - if SCO had attacked a smaller company that couldn't afford to defend itself they might have won by default years ago.

    There is no justice when the difference between winning and losing is the amount of money you can spend on lawyers.
  • by aardvarkjoe ( 156801 ) on Saturday September 18, 2004 @11:40AM (#10284857)
    I've seen a similar system used in a web site, wish I recalled the url...
    Come to think of it, I think I saw that too. Unfortunately, it doesn't seem to work worth crap.
  • by Saeed al-Sahaf ( 665390 ) on Saturday September 18, 2004 @11:41AM (#10284859) Homepage
    Well... Judging by main stream press which is the press most people read, not LinuxWorld, AND taking into consideration that for the most part, in the main stream press SCO FUD has worked reasonably well, yes, I think some stupid web site will generate some sympathy.
  • by Anonymous Coward on Saturday September 18, 2004 @11:41AM (#10284860)
    > Regardless, from what I hear, Boies is one of the best litigators in the country. Cravath has good litigators too. This case will be well argued - and that is a good thing.

    Methinks you need to read Groklaw a bit more, and get a re-education on the quality of SCO's legal efforts so far.

    Cliff Notes summary: not nearly good enough.
  • Simple (Score:3, Insightful)

    by microbox ( 704317 ) on Saturday September 18, 2004 @11:43AM (#10284871)
    Because the legal system occupies a different mind-space.

    Go to a bookshop, and pick-up a book on running a small business, and read the chapter on going to court...

    There is a reason why public faith in the legal system is at an all time low.
  • by PhotoGuy ( 189467 ) on Saturday September 18, 2004 @11:55AM (#10284934) Homepage
    I believe that here in Canada, there's a lot fewer frivolous lawsuits, since it's far easier to get losing sides to pay defendant's costs. I think it's a great system; you go around suing people frivolously, trying to be a bully, you primarily end up paying their court costs in battles you lose. The US should really consider moving towards this approach.
  • by cdrudge ( 68377 ) * on Saturday September 18, 2004 @11:56AM (#10284943) Homepage
    Leave his family, if there is one, out of it. Blast him in is professional role all you want. Call him evil, say he's a moron, say whatever you want about him...but leave those who have no other connection to the lawsuit other then a family relation out of it.

    It makes yourself look like an ass and brings no credibility to the anti-SCO supporters.

    And to the child post below, the same relies to religion as well.
  • by happyemoticon ( 543015 ) on Saturday September 18, 2004 @12:02PM (#10284975) Homepage
    I'd only call their website a counter to Groklaw if they allowed comments, and they don't.

    And I think I speak for all slashdot users when I say that when I heard about this supposed counter-site, the first thing I felt was a deep urge somethin' powerful to go over there, troll and /. their website into oblivion. That's a nice illustration of their ideal business model: SCO pontificates to the community, and the community can't respond. Captive audience, or vendor lock-in, whatever.

  • by Crashmarik ( 635988 ) on Saturday September 18, 2004 @12:22PM (#10285071)
    Because it will have to be malpractice against boies. Given the material on groklaw it looks like they will have alot of evidence
  • by farnz ( 625056 ) <slashdot&farnz,org,uk> on Saturday September 18, 2004 @12:28PM (#10285113) Homepage Journal
    This is why the judge gets discretion to cap costs, and to refuse to award costs; if I sued IBM, and lost on a technicality, IBM would probably still pay costs here in the UK.
  • by ljavelin ( 41345 ) on Saturday September 18, 2004 @12:35PM (#10285145)
    If SCO wins in any of its legal claims, I don't want to sit there blaming the stupidy of the US justice system and impugning the motives of the presiding judge. I want to know where such a SCO victory could come from. I can't be the only one who believes that there are at least two sides to every issue, even if they're not equally reasonable.

    However, if SCO does win a legal claim, I'm sure it'll be documented and discussed.

    However, as of right now, no one seems to have enough information to conclude that any of SCO's claims are on solid ground. That's likely why the public's opinion is about 98 to 2 against SCO. If SCO had produced and released some solid evidence, then I'm sure opinion here would change significantly.

    The courts are where cases are decided, not on slashdot. If you want to read the pro-SCO comments, feel free to look at the "0" and "-1" posts, and moderate them up if you think they're fair. I will too. but not here, cause I already posted and am ineligable to moderate here and now.

  • by DeepHurtn! ( 773713 ) on Saturday September 18, 2004 @12:42PM (#10285183)
    Is there anything surprising about that? Capitalism *depends* on profiting off of other's work -- do you think any employer would stay in business long if s/he didn't pay the employees less weath than they generated for the business? Generating more wealth from an employee than what you pay them is pretty much the *definition* of profit. SCO is not the exception, it is a natural result of this mentality.
  • by 0x0d0a ( 568518 ) on Saturday September 18, 2004 @12:53PM (#10285232) Journal
    And by "mainstream press", I take it that you don't mean the Wall Street Journal, which I remember reading a SCO article in. It was entitled something like "David versus Goliath", and pointed out that Linux was a huge juggernaut and SCO a very small contender with a very weak legal case. The article ended saying "this is one battle where you'll want Goliath to win."
  • by CmdrGravy ( 645153 ) on Saturday September 18, 2004 @12:59PM (#10285268) Homepage
    That's not through any bias on the part of ./ or Groklaw.

    First of all Groklaw mainly just reports on the court documents, you can read them and draw your conclusions just as PJ does and draws hers.

    Secondly if you can find anything, anything at all which leads you to believe SCO may have a genuine case and might win it then please post here and we can discuss it, the fact that as yet no one on ./ has managed to do this is simply evidence that such a thing is so hard to find.

    You'll notice that most reports in the media now are simply reporting what SCO said and no positive comments on SCO except for journalists like Maureen who write opinions based on a seriously flawed analysis of what ever it is that has happened they are reporting on.

    It seems like you are not classing Maureen O Gara's comments as a sensibly balanced opposite point of view yet she and her ilk are the only people painting SCO's chances in a positive light which is in itself an interesting comment on the case.
  • by antiMStroll ( 664213 ) on Saturday September 18, 2004 @01:21PM (#10285441)
    Evidence isn't weighed by quantity, but if you want the counter-balance SCO's site provides plenty. Are you sure you're not asking for the equivalence of more balance about 'the faked moon landing' and abrading NASA for "long, incomprehensible, philosophical discussions"?
  • by wrecked ( 681366 ) on Saturday September 18, 2004 @01:21PM (#10285442)
    SCO has a falsifiable hypothesis: IBM copied code from its AIX operating system to Linux. However, the evidence [slashdot.org] disproves [perens.com] this hypothesis.

    Further, SCO has not helped itself by issuing numerous public statements [groklaw.net] that contradict their representations in court [groklaw.net].

    As far as Groklaw goes, as a lawyer I cannot emphasize enough how innovative and unique that website is. Sure, Pamela Jones has a distinct bias, but at least you know up front where she stands so you can evaluate her opinions accordingly. The real value of that site is the sheer comprehensiveness of the public statements and filings organized in its database. A resource like that would cost someone tens (or possibly hundreds) of thousands of dollars to compile privately, and yet here it is offered to the public for free. It's like open source litigation, and I hope that Groklaw or sites like it continue in the future for other legal/political/social issues (software patents anyone?).

    I think that these stories on SCO are so one-sided because after more than a year on this story, it has been thoroughly exposed to the point of ridicule. It's sort of the way that the public responds to other types of lawsuits that seem frivolous [power-of-attorneys.com] at first glance; it's possible that a seemingly frivolous lawsuit may have have merit, but that doesn't stop the public from being highly sceptical.

    SCO's problem is that they decided (highly unwisely from a litigation viewpoint) to spin their action in the press. This is completely contrary to standard practice when it comes to lawsuits ("No comment, the matter is before the courts"). All of their ill-informed, contradictory and bombastic press quotes are coming back to haunt them, as you can be sure that IBM will use any prior inconsistent statement to cross-examine and impeach their evidence now.

  • by Idarubicin ( 579475 ) on Saturday September 18, 2004 @01:22PM (#10285447) Journal
    Visiting the site that's supposed to provide serious legal background, Groklaw, is like visiting a very learned religious site inquiring about the existense of God: long, incomprehensible, philosophical discussions invariably concluding that God indeed exists based on incontrovertible evidence, that all doubters' motives are suspect, and that they'll probably all burn in Hell anyway.

    But...Groklaw doesn't just provide slanted analysis. The legal documents--filings, affidavits, memos, motions, as many as they can get their hands on--are all scanned and available online.

    I'm probably in the minority here, but I have read many of the legal filings. By and large, the comments of PJ are on the money, and don't misrepresent the contents of the documents. The comments are laced with heavy doses of schadenfreude, but I think they are factually correct.

    If you want entirely unbiased coverage of the trial, then you can't rely on anybody's analysis and coverage. You have to read the documents for yourself. PJ has, bless her heart, actually provided them on Groklaw. Providing access to primary sources is a damn sight more open and honest than what most other news commentators give....

  • by southpolesammy ( 150094 ) on Saturday September 18, 2004 @01:55PM (#10285620) Journal
    If he has a family and they are living comfortably while Darl makes money by making false claims, then then it is possible, if unlikely, that there is a cause for complicity here. It's like being married to the mob -- you know what you're getting into when you get in, and that automatically makes you an accomplice.

    I will say though that if he has kids under the age of 18, then they should not be held accountable, but if they are 18+ and still benefitting from daddy's frivolities, then they are complicitous as well.
  • Re:I get it (Score:3, Insightful)

    by Mostly a lurker ( 634878 ) on Sunday September 19, 2004 @12:41AM (#10289059)
    Actually, they may be trying the same gambit they used in DOJ v Microsoft. That is to irritate the judge to the degree that he reacts and can be presented as biased against their client.

    They then go to the appeals court and try to claim that they were prevented from carrying out essential discovery and see if they can tie the case up in discovery for the next five years.

UNIX was not designed to stop you from doing stupid things, because that would also stop you from doing clever things. -- Doug Gwyn

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