US Supreme Court: IBM has been given a contractual punishment in billions

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US Supreme Court: IBM has been given a contractual punishment in billions


The Supreme Court of the United States on Monday refused to deal with the contract dispute between American software company IBM and BMC software. The judges refused to hear the BMC application against the decision of an appeal, with which one of the highest criminal charges leveled in a commercial case was rejected. In the first process, a BMC court awarded the payment of compensation of $ 1.6 billion.

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The BMC-based company mainframe software develops and licenses. This accuses IBM of illegally replacing BMC main frame software, when common customers provide information technology services for AT&T and thus violate the license agreement. IBM was commissioned by the American Telecommunications Group AT&T to manage its major computer company. There was an agreement of BMC and IBM that allowed IBM to wait with the “non-restraining” section, on which the BMC software runs. According to Reuters News Agency Forbid this clause IBM to switch software from BMC customers to your own software. In the first proceedings, in the sense of BMC, a district court and IBM in Houston were sentenced to pay $ 1.6 billion in the sense of BMC and convicted IBM on BMC.

But in April last year, the 5th US Court of Appeal enhanced arbitration against IBM. The license agreement was allowed to replace BMC software with competitive software, until the customer indicated the exchange itself. The major section of the agreement said that IBMs should not replace BMC products with their own products during the application, but BMC may stop using customer license for other authorized commercial reasons.

BMC then called the US Supreme Court. The BMC argued by the Court of Appeal IBM’s decision “almost unlimited rights” software, BMC. On the other hand, IBM urged the top judges to dismiss the objection, as the dispute was a federal case and there is no question that would make the review the review correct. It has now dismissed the hearing in this case. Thus IBM is spared billion -dollar fine.


(AKN)

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