SAP, Oracle Fail to Settle Copyright Suit Over Code

SAP AG, the world’s largest maker of business-management software, failed to reach a settlement in Oracle Corp.’s $1 billion copyright lawsuit accusing it of stealing software code.

A two-hour settlement conference yesterday in federal court in San Francisco ended without an agreement, according to a court filing today in the two-year-old lawsuit. Another settlement conference is scheduled for Nov. 30. Settlement talks last year were unsuccessful.

Oracle, based in Redwood City, California, sued SAP in 2007 alleging it stole copyrighted software codes and support documents to bolster a service for customers that use Oracle software and eventually switch them to SAP products. Oracle has said it may seek as much as $1 billion in damages. A trial is scheduled for February 2010.

SAP, based in Walldorf, Germany, said in 2007 that it had made “inappropriate” downloads of Oracle’s support documents. The company denied it had access to Oracle’s intellectual property and said its Byran, Texas-based TomorrowNow unit had a right to make use of Oracle’s Customer Connection Web site and download support materials on behalf of its customers.

SAP said in court filings that it favors a settlement.

Kim Pineda, an Oracle spokeswoman, and Saswato Das, an SAP spokesman, didn’t immediately return voice-mail messages seeking comment.

The case is Oracle Corp. v. SAP AG, 07-01658, U.S. District Court, Northern District of California (San Francisco).

To contact the reporter on this story: Karen Gullo in San Francisco federal court at kgullo@bloomberg.net.