Edmonton-based IT solutions specialist Matrikon has settled a copyright infringement lawsuit brought against it by its client, Industrial Evolution Inc. of Phoenix, Ariz.
The company says it has settled to avoid the nuisance and the high cost of further litigation, but said the agreement did not constitute an admission by either side as to any of the allegations.
“Given the significant cost we were incurring in defending against the lawsuit in the U.S.A., this settlement made financial sense,” said Shafin Kanji, Matrikon’s chief financial officer.
The lawsuit revolved around an allegation of breach of contract and unfair competition after Matrikon developed a web portal for Industrial Evolution based on Matrikon’s ProcessNet technology.
The litigation arose due to differences over the interpretation of the contract as to ownership of some Matrikon-developed components included in the portal.
Under the settlement deal, Matrikon will retain ownership of all ProcessNet modules including those under dispute, while Industrial Evolution will enter into a new licence agreement for the use of ProcessNet.
All previous agreements between the companies will terminate, and Matrikon will pay Industrial Evolution a lump sum of $310,000 US and transfer the shares it owns in the company back to the Phoenix firm.
