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UPDATE 1-SCO Group files for Chapter 11 bankruptcy

Fri Sep 14, 2007 4:23pm EDT

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Sept 14 (Reuters) - SCO Group Inc SCOX.O filed for protection from creditors under Chapter 11 of the U.S. Bankruptcy Code Friday, more than a month after a court rejected the software licensing company's copyright claims over the UNIX operating system.

In August, the U.S. District Court for Utah ruled that Novell Inc (NOVL.O), and not SCO, owned the copyright to UNIX. The ruling jeopardized SCO's chances in a lawsuit against IBM (IBM.N) over Linux, which is based on UNIX.

IBM and Novell are both major supporters of Linux.

SCO sued IBM in March 2003, alleging IBM had violated UNIX licensing agreements and introduced part of its UNIX source code, or software blueprint, into Linux.

Novell then said it had not transferred UNIX copyrights to SCO in a 1996 asset sale. (Reporting by Anup Roy in Bangalore)



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