Europe's largest software maker SAP (SAPG.DE) must face a lawsuit by U.S. data technology company Teradata (TDC.N) accusing it of antitrust violations and stealing trade secrets, after a U.S. appeals court revived the case on Thursday.
The 9th U.S. Circuit Court of Appeals in San Francisco reversed a lower court judge who had ruled in 2021 for Germany’s SAP in the lawsuit, which Teradata filed in 2018.
“We are disappointed by and disagree with the apparent outcome and are considering our options in response,” SAP said in a statement on Thursday's decision.
Teradata said it was pleased by the 9th Circuit’s order.
San Diego-based Teradata alleged SAP entered into a joint venture with it in 2008 to gain access to its intellectual property and create a competing database product. SAP then illegally conditioned sales of enterprise management software on customers purchasing the rival database product, the lawsuit said.
The appeals court said Teradata created a “material dispute” on its claims that are for a jury to resolve.
The 9th Circuit panel faulted the lower court ruling for excluding testimony from an expert about antitrust issues in the case such as market share and definition.
SAP has alleged in counterclaims, which the appeals court did not address, that Teradata has infringed some of SAP’s patents.
The case is Teradata Corp et al v. SAP SE et al, 9th U.S. Circuit Court of Appeals, No. 23-16065.
For Teradata: Deanne Maynard of Morrison & Foerster
For SAP: Kannon Shanmugam of Paul, Weiss, Rifkind, Wharton & Garrison
