Summary: Press reports on why Novell’s board is being sued
Attachmate’s purchase of Novell included a clause that resulted in CPTN Holdings buying hundreds of patents for $450m. CPTN Holdings is a secretive consortium led by Microsoft, the firm that many Linux watchers believe was behind SCO’s ill-fated war on Linux.
Delaware Court of Chancery Judge John Noble dismissed a request by Novell’s board for an early dismissal of the lawsuit, meaning that the case can now proceed to trial. Novell’s board can now present evidence to defend itself against the claims, although there is still time for the parties to settle.
Here is what Reuters wrote:
Novell Inc directors who approved the information technology company’s 2010 sale for $2.2 billion must defend a lawsuit that alleges they unfairly favored Attachmate Corp over other bidders.
To Novell’s board (with Microsoft influence that we demostrated in previous years), giving approximately 1,000 patents to Microsoft, a Linux arch rival, seemed rational enough. They deserved to be sued for the millions they
stole received in undeserved bonuses as well. Novell was a company withoutn a moral compass, with zero ethics, and a dishonest PR department that felt comfortable insulting critics. █