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Novell Settles Piracy Claims Against New York Company

Defendant Distributed Counterfeit Software

PROVO, Utah | April 17, 2001

Novell, Inc., the leading provider of Net services software, announced that it has settled its case against Academic Data Solutions of Brooklyn, New York, and its principals, Ezra Natanely and Rachael Natanely. Novell brought a suit against Academic Data Solutions in January of 1999 for copyright and trademark infringement.

The suit, filed in the U.S. District Court for the Eastern District of New York, alleged that Academic Data Solutions distributed counterfeit versions of Novell's NetWare® software and also distributed counterfeit Novell labels. Academic Data Solutions also provided misleading information to customers by claiming to have authorization from Novell to distribute Novell® software, when, in fact, they did not.

Novell learned of Academic Data Solutions' activity when Novell's anti-piracy investigators saw a suspicious advertisement in an online publication. Investigators purchased the suspect product, which was soon after identified as counterfeit software. Novell then initiated a civil search and seizure process with the Court, which was subsequently carried out by the U.S. Marshall at the offices of Academic Data Solutions. The search revealed more counterfeit Novell software as well as counterfeit Novell Education manuals, all of which was seized by the U.S. Marshall.

"Our Anti-Piracy program is specifically designed to protect Novell's partners and customers against those who compete unfairly and engage in this type of activity," stated Josie Parry, senior vice president and general counsel for Novell. "In order to be successful in this endeavor, our approach to combating piracy must continue to be aggressive."

Novell's Anti-Piracy Group, which includes a dedicated Internet Piracy Unit, investigates complaints of software piracy including the illegal use and distribution of Novell's copyrighted software and other materials, as well as the unauthorized use of Novell's trademarks. The Anti-Piracy Group is committed to ensuring that Novell customers receive legitimate, licensed software and that Novell partners receive the appropriate revenues for the distribution of Novell software. To report instances of software piracy or for related inquiries, please visit the anti-piracy Web site at www.novell.com/piracy or email pirates@novell.com. The Anti-Piracy Group also maintains a toll-free hotline at 1-800 PIRATES (800-747-2837).

About Novell
Novell, Inc. (NASDAQ:NOVL), is the leading provider of Net services software that delivers services to secure and power all types of networks the Internet, intranets, and extranets; wired to wireless; corporate and public across leading operating systems. Novell's Net services software provides the foundation for one Net a single global network that supports new applications and forms of business. Worldwide channel, consulting, education and technical support programs, along with strategic alliances, combine Novell Net services software with third-party products and services to form complete Net solutions.

For information on Novell's complete range of products and services, contact Novell's Customer Response Center at (888) 321-4CRC (4272), or visit Novell's Web site at http://www.novell.com. Press may access Novell announcements and company information on the World Wide Web at http://www.novell.com/pressroom. In addition, detailed comparisons between Novell products and competitive offerings from other vendors are available on the Web at http://www.novell.com/competitive.

Novell and NetWare are registered trademarks of Novell, Inc. in the United States and other countries. All third-party trademarks are the property of their respective owners.

Press Contacts

Steve Kirk
Telephone: (801) 861-8801
Email: skirk@novell.com

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