Facts

Oracle USA Inc. sued Rimini Street Inc. for copyright infringement.

PLAINTIFF'S CONTENTIONS:
Oracle develops and manufactures complex, enterprise computer software, which it then licenses to customers through software licensing agreements. Oracle also provides software support to its customers. Rimini also provides some software support on Oracle software.

Oracle alleged that Rimini copied, and cross-used, between multiple customers, several of Oracle's copyrighted software programs in order to provide competing software support to Oracle's customers. Oracle asserted causes of action for copyright infringement, violation of the Federal Computer Fraud and Abuse Act, violation of the California Computer Data Access and Fraud Act, violation of Nevada Revised Statutes, breach of contract, inducement of breach of contract, intentional interference with prospective economic advantage, negligent interference with prospective economic advantage, unfair competition, trespass to chattels, unjust enrichment, unfair practices, and accounting.

DEFENDANT'S CONTENTIONS:
Rimini asserted three counterclaims for defamation, copyright misuse, and unfair competition. It also raised various affirmative defenses.

The court previously dismissed the copyright misuse and unfair competition counterclaims.

Result

The court granted partial summary judgment for Oracle, granting its first cause of action for copyright infringement in relation to various identified software copies made by Rimini Street, and denying Rimini's affirmative defenses in connection with that cause of action. The court found that licenses for two customers (Flint, Mich., and Pittsburgh's public schools) concerning Oracle's PeopleSoft-brand software did not authorize Rimini to make copies of the software, which the company used to provide support services to the city and school system. Instead, the court ruled that Oracle's licensing agreements with Flint and the Pittsburgh public schools allowed only those entities to make software copies, and that the duplicates had to remain within the systems of the city and schools. Oracle offered these two licenses as representative examples of PeopleSoft licenses, which were generally uniform. Recent SEC filings indicate that PeopleSoft software accounts for approximately half of Rimini's overall revenues. According to the order, Rimini made copies of its customers' Oracle programs in order to create "development environments," which allowed Rimini to test updates for Oracle's software. In the Order, Judge Hicks also granted summary judgment to Oracle on Rimini's affirmative defenses for consent of use and implied license.