Satyam said it will consider all its legal options. "The issue is still hovering around the jurisdiction matter we have not even started to discuss the core issue. We will work with our lawyers and take an appropriate decision," said Srinivas Vadlamani, CFO, Satyam Computer Systems.
The decision confirms an earlier High Court judgement favouring Upaid, that allows the firms lawsuit against Satyam's alleged forgery, fraud, misinterpretation and breach of contract and what Satyam admits are "extremely large sums of money" to proceed to a US trial by jury in a Texas Federal Court.
In 2006, Upaid filed certain claims of infringement against some companies in US and in the proceedings, two former Satyam employees were also named, who later denied signing the patent assignment documents in 2002.
Aggrieved Upaid has filed this case against Satyam in 2007 in Texas to declare their patent valid and sought damages from Satyam for any possible losses arising out of impairment of their patent.
Satyam in turn filed a petition in London since it contended the jurisdiction lay there in line with the terms of the agreement signed between the two parties earlier.
However, the courts in London have decided that the case in Texas can continue and be heard based on an earlier Assignment agreement signed by Satyam's then subsidiary and Upaid.
The case is expected to be tried in US in 2009. The US case is in a very preliminary stage and has to undergo the due process of law and Satyam is confident that it has merits in this case and would contest the case.
