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Novell Wins Breach-of-Contract Dispute over Operating System with Canopy Group.

Knight Ridder/Tribune Business News, May, 2004

By Bob Mims, The Salt Lake Tribune Knight Ridder/Tribune Business News

May 15--The Utah Court of Appeals has backed Novell's breach-of-contract victory over the Canopy Group, but in so doing unveiled a once-secret pact under which Novell sought to sue Microsoft by proxy.

That 1996 antitrust lawsuit by Canopy and its subsidiary Caldera (now SCO Group) brought a reported $250 million settlement from Microsoft in 2000. The litigation, the three-judge appellate panel found, came as an oral quid-pro-quo for the sale of source code for DR DOS, a computer operating system targeted by Microsoft's alleged anti-competitive practices in the early 1990s.

"Novell's board of directors worried that, if they brought suit against Microsoft in a...

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