PROVO, Utah August 25, 1998 Novell, Inc. announced that it has filed a
lawsuit against PMI Industries, Inc. of San Diego, California and two individuals for copyright and
trademark Infringement.
The suit, filed in the U.S. District Court for the Southern District of California, alleges that PMI
Industries, Inc. misused Novell trademarks, trade dress and logos to give the appearance that Novell
NetWare product was full product when in reality it was upgraded NetWare product. Novell also alleges
that PMI Industries, Inc. then distributed the fraudulently packaged upgrade product to resellers and/or
customers that were not eligible to acquire or use the upgrade products.
In addition, Novell also alleges that the defendants acquired and sold unbundled Original Equipment
Manufacturer (OEM) product and unauthorized Master License Agreement (MLA) product to
unsuspecting customers. Additionally, Novell believes that PMI Industries, Inc. also acquired and sold
stolen intraNetWare for Small Business diskettes.
"We have vigorously defended our trademarks and copyrights in the past and will continue to do so in the
future," stated David Bradford, senior vice-president and general counsel for Novell. "Novell has made a
commitment to our customers that when they purchase Novell product, they are purchasing quality and
reliability. We want our customers to know that they are getting full product and not upgrades by the
packaging on the box."
Novell first became aware of this matter when Novell authorized resellers forwarded a direct marketing
e-mail advertisement with the infringing products to Novell's Anti-Piracy group.
Novell investigated over 1200 cases worldwide in fiscal 1997. More than $11 billion each year is lost to
software piracy, according to the Business Software Alliance (BSA) and Software Publisher's
Association (SPA). Novell is an active member of both the SPA and BSA.
Novell has established an anti-piracy group and telephone hotline for reporting illegal use of Novell
software or making related inquiries. Novell's piracy hotline receives an average of 40 calls per week.
Call 1-800 PIRATES (800-747-2837) or send e-mail to pirates@novell.com.
About Novell
Founded in 1983, Novell (NASDAQ:NOVL) is the world's leading provider of network software. The
company offers a wide range of network solutions for distributed network, Internet/intranet and
small-business markets, as well as the network computing industry's most comprehensive education and
technical support programs. Information about Novell and its complete range of products and services
can be accessed on the World Wide Web at http://www.novell.com.
Novell, NetWare and intraNetWare for Small Business are trademarks of Novell, Inc.
Novell Contact:
Ron Barker
Phone: (801) 228-8844
Fax: (801) 228-8875
Internet: rbarker@novell.com