German giant Siemens AG has tried to convince a US court to throw out the case in which VMware alleged it used unlicensed software.
VMware filed the case in March, when it alleged that Siemens and some of its related companies in the US had used many instances of unlicensed software, a fact that came to light during negotiations over extended support contracts for the German company’s perpetual licenses.
After its acquisition by Broadcom, VMware stopped selling support contracts for perpetually licensed software and instead bundled support and subscriptions for its wares. As was the case when AT&T sued VMware, Siemens tried to buy more support services without moving to subscriptions.
During negotiations over the support deals, Siemens provided a list of the VMware software it used. After reading that list, VMware contended Siemens was using more software than its licenses allow. After negotiations stumbled, VMware sued.
The District Court of Delaware gave Siemens until June 10th to respond to VMware’s accusations.
That day arrived last week, and a flurry of filings flowed.
Siemens argued that it long ago struck a Master Software License Agreement (MSLA) with Irish entity VMware International Unlimited Company, and that the deal included a “forum selection clause” that specifies the courts of Munich, Germany, as the jurisdiction in which the two parties will resolve any disputes about the contract.
Siemens states that VMware recognizes the forum selection clause: Why else would the two companies have exchanged ten letters about this matter in Germany?
The German company therefore asked the District Court of Delaware, where VMware filed the case, to dismiss the matter.
VMware retorted that because some of Siemens’ US-based companies used unlicensed software, Delaware is the right place to hold a trial.
In their respective filings, the two companies also spar over whether a copyright claim is the appropriate issue on which to consider the matter.
Siemens argues it’s a dispute over a contract. VMware claims that as US copyright law protects its products, an American court is the place to run the case.
Siemens claims it doesn’t run the US-based entities VMware has sued. VMware says they’re valid defendants.
The court has so far said nothing in public – although the case file contains some unreleased documents.
The matter continues. The Register is watching. ®
