Software Firm Apptricity Receives $50 Million in U.S. Army Piracy Lawsuit
November 29, 2013 11:42 AM
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Apptricity also managed to keep the Army as a client after the lawsuit
A small, Irving, Texas-based software company recently had a dispute with a client and won the court case. This sort of thing happens all the time, right? Of course, except its client was the U.S. Army.
filed a lawsuit against the U.S. Army -- its largest client -- back in 2012 for illegally installing its software on unlicensed workstations around the globe. It looks like Apptricity came out the winner, as it was just reported by
that the company received $50 million from
Apptricity took the Army as a client starting in 2004, back when the small firm had about 80 employees. Computer Sciences Corp. (CSC) brought the two together, and even after the Army terminated its contract with CSC in 2007, the Army stuck with Apptricity.
The Army used Apptricity's software to keep an eye on its scattered people and equipment. It paid for five servers and several thousand workstations, plus the annual maintenance.
But by 2008, Apptricity noticed that the Army was using the software at way more bases than it paid for. To be exact, it had installed the software on at least 98 servers and nearly 11,000 workstations.
Apptricity filed the lawsuit in February 2012 and won, although it was originally seeking $224.5 million in damages.
Even better, the small firm was able to keep its largest client despite the settlement.
“It’s like a marriage. Sometimes you really don’t want to be around each other, but it doesn’t mean you are going to break it off," said Tim Garcia, president and co-founder of Apptricity.
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11/29/2013 2:55:07 PM
A Texas court favored the smaller company? Shocking...really, I can't say I've ever seen this outcome before.
11/29/2013 9:18:45 PM
A Texas court favored the smaller company?
No, the Army settled.
"So, I think the same thing of the music industry. They can't say that they're losing money, you know what I'm saying. They just probably don't have the same surplus that they had." -- Wu-Tang Clan founder RZA
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