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SAP faces huge payout over patent case

by Iain Thomson

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28 Aug 2009

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SAP has been ordered to pay $139m in damages to Versata Software

SAP is facing a multimillion dollar payout after losing a patent infringement case with Versata Software.

Versata claimed that SAP had infringed five of its patents in its Business Suite applications, including one on how price is determined for individual products.

"SAP is reviewing its legal options and we expect to appeal the decision," Andy Kendzie, director of communications at SAP, told Bloomberg.

Versata had originally asked for $100m (£61m), but the Texas judge added more to the damages, taking the payout to $139m (£85m). Versata is now seeking an injunction on the Business Suite until the issue is fully resolved.

"The verdict underscores what a good patent portfolio Versata has," said Theodore Stevenson, lawyer at McKool Smith, the law firm which represented Versata. "It has always had good patents, and this is a public validation of that."

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