SAP must pay Oracle interest on $1.3B verdict

By David Goldman, staff writer


NEW YORK (CNNMoney.com) -- Corporate software company SAP must pay rival Oracle millions of dollars in interest on a $1.3 billion copyright infringement verdict, a U.S. district judge ruled this week.

Judge Phyllis Hamilton did not say exactly how much interest SAP would have to pay, but she used a methodology that SAP estimated would cost it about $16.5 million.

The court's decision was a compromise between Oracle's and SAP's demands. Oracle had asked for SAP to pay $211 million in interest on the penalty, but SAP said it should not have to pay any interest at all.

Instead, the judge ruled that there was precedent for such an interest payment, which would require SAP to pay Oracle compound interest on the fine at a rate equal to the weekly average yield of the one-year Treasury bond at the time of the ruling, which was 0.3%. SAP will have to pay interest dating back to Sept. 29, 2006.

Last month, a jury awarded Oracle the $1.3 billion sum for copyright infringement by SAP's now-defunct software maintenance unit, TomorrowNow. SAP admitted to the wrongdoing, but had offered just a $40 million settlement. The company said it would appeal the ruling if it is not overturned in post-trial motions. To top of page

Frontline troops push for solar energy
The U.S. Marines are testing renewable energy technologies like solar to reduce costs and casualties associated with fossil fuels. Play
25 Best Places to find rich singles
Looking for Mr. or Ms. Moneybags? Hunt down the perfect mate in these wealthy cities, which are brimming with unattached professionals. More
Fun festivals: Twins to mustard to pirates!
You'll see double in Twinsburg, Ohio, and Ketchup lovers should beware in Middleton, WI. Here's some of the best and strangest town festivals. Play
Index Last Change % Change
Dow 17,098.45 18.88 0.11%
Nasdaq 4,580.27 22.58 0.50%
S&P 500 2,003.37 6.63 0.33%
Treasuries 2.34 0.01 0.39%
Data as of 6:18pm ET
Company Price Change % Change
Bank of America Corp... 16.09 0.08 0.50%
Apple Inc 102.50 0.25 0.24%
Intel Corp 34.92 0.27 0.78%
Facebook Inc 74.82 0.96 1.31%
General Electric Co 25.98 -0.03 -0.12%
Data as of Aug 29

Sections

The deal would value Vice at $2.5 billion. The online media company would also create content for the cable network, delivering a wider audience. More

Gas prices are falling to nearly $3 a gallon in some parts of South Carolina, and that will soon be common in much of the country. More

Chinese tech giant Alibaba is gearing up for a major market debut in New York that could set new records. Here are three things you need to know in advance of their big splash. More

The Coolest Cooler is the most successful Kickstarter campaign in the site's history, raising $13.3 million from over 62,000 backers. More

Five CNNMoney readers share stories about saving that you can learn from: What they would do differently if they had another chance. More

Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.