Nov 3

Written by: Owen Wengerd
Monday, November 03, 2008 6:09 PM

According to a proposed settlement order filed on Friday, Autodesk and Tim Vernor have agreed to settle Vernor's "Second Claim" for unfair and deceptive practices. In the settlement, Vernor agrees to drop his demand for a declaratory judgement that Autodesk has no right to interfere with Vernor's sale of Autodesk software, and his demand for an injunction prohibiting Autodesk from further interference. In exchange, Autodesk agrees to pay actual and punitive damages, attorney's fees, and "such other relief as the Court finds appropriate".

Essentially Vernor got everything he wanted, as the court's previous order denying Autodesk's motion to dismiss is almost as good as an injunction. By settling this secondary claim for a relatively small amount, Autodesk can now focus its resources on the more important and far-reaching remaining issues regarding whether the software is sold or licensed, and hence whether the first sale doctrine applies.

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