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Lawson Comments on ePlus Patent Litigation

  • Jury verdict includes no damages
  • Lawson agrees with U.S. Patent and Trademark Office that the patents are invalid
  • Lawson will continue to take all necessary legal steps against ePlus

ST. PAUL, Minn., Jan 31, 2011 (BUSINESS WIRE) -- Lawson Software (Nasdaq: LWSN) today commented on the jury verdict issued Jan. 27, 2011, in the patent infringement lawsuit filed against Lawson by ePlus, Inc. in the U.S. District Court for the Eastern District of Virginia.

The company noted that the jury verdict includes no damages awarded to ePlus and found no infringement on Lawson's core S3 procurement system (Lawson System Foundation and Process Flow used in combination with Inventory Control, Requisition, and Purchase Order Modules) or the core S3 procurement system used in combination with Electronic Data Interchange.

Pending post-trial decisions by the district court, Lawson plans to appeal the claims that the jury found in favor of ePlus related to the core S3 procurement system used with 1) Requisition Self Service, 2) Requisition Self Service and Punchout, and 3) Requisition Self Service, Punchout and Electronic Data Interchange.

Key points at this point in the litigation:

  • The validity of the three patents held by ePlus is currently being reexamined by the U.S. Patent and Trademark Office (PTO). The PTO has initially rejected all claims of these patents.
  • During the trial, ePlus dropped its claim of "willful infringement" against Lawson before the jury verdict, an indication that the claim lacked support.
  • No damages were awarded. ePlus had sought more than $20 million in damages but was prevented by the court from seeking damages early on in the case.
  • ePlus did not invent the products in question. The company purchased the patents more than 10 years ago and has attempted to generate income through lawsuits.

"We respect technological innovation and patents but will not be intimidated by companies that use questionable tactics expecting quick settlements while the Patent Office continues to reject the validity of the claims," said Harry Debes, Lawson president and chief executive officer. "The jury's verdict shows that our customers can continue to rely on our core S3 procurement product and Lawson System Foundation and that ePlus' attack on these products is baseless."

About Lawson Software

Lawson Software is a global provider of enterprise software. We provide business application software, maintenance and consulting to customers primarily in specific services, trade and manufacturing/distribution industries. We specialize in and target specific industries including healthcare, services, public sector, equipment service management & rental, manufacturing & distribution and consumer products industries. Our software solutions include Enterprise Financial Management, Human Capital Management, Business Intelligence, Asset Management, Enterprise Performance Management, Supply Chain Management, Service Management, Manufacturing Operations, Business Project Management and industry-tailored applications. Our applications help automate and integrate critical business processes, which enable our customers to collaborate with their partners, suppliers and employees, reduce costs and enhance business or operational performance. Lawson is headquartered in St. Paul, Minn., and has offices around the world. Visit Lawson online at . For Lawson's listing on the First North exchange in Sweden, Remium AB is acting as the Certified Adviser.

Forward-Looking Statements

This press release contains forward-looking statements that contain risks and uncertainties. These forward-looking statements contain statements of intent, belief or current expectations of Lawson Software and its management. Such forward-looking statements are not guarantees of future results and involve risks and uncertainties that may cause actual results to differ materially from the potential results discussed in the forward-looking statements. The company is not obligated to update forward-looking statements based on circumstances or events that occur in the future. Risks and uncertainties that may cause such differences include but are not limited to: uncertainties in the software industry; uncertainties as to when and whether the conditions for the recognition of deferred revenue will be satisfied; increased competition; the impact of foreign currency exchange rate fluctuations; continuation of the global recession and credit crisis; Lawson's ability to integrate acquisitions successfully; changes in conditions in the company's targeted industries; the outcome of pending litigation and other risk factors listed in the company's most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission. Lawson assumes no obligation to update any forward-looking information contained in this press release.

SOURCE: Lawson Software

Lawson Software
Joe Thornton
+1-651-767-6154
joe.thornton@us.lawson.com
or
Barbara Doyle
+1-651-767-4358
Barbara.doyle@us.lawson.com