IBM, Novell, and Red Hat Lawsuit
In 2006, Daniel Wallace filed a lawsuit against the software companies IBM, Novell, and Red Hat, who profit from the distribution of open-source software, specifically the GNU/Linux operating system. Wallace's allegation was that these software companies were engaging in anticompetitive price fixing.
On May 16, 2006, Judge Richard L. Young dismissed the case with prejudice:
- Wallace has had two chances to amend his complaint . His continuing failure to state an antitrust claim indicates that the complaint has “inherent internal flaws.” Wallace will not be granted further leave to file an amended complaint because the court finds that such amendment would be futile.
Wallace later filed an appeal in the Seventh Circuit Appeal Court, where his case was heard de novo in front of a three-judge panel led by Frank Easterbrook. He lost his appeal, with the judge citing a number of problems with his complaint.
Read more about this topic: Wallace V. International Business Machines Corp. Et Al.
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