HP quibbles over $6 million damages bill

Too many inkjets spoil the broth

Hewlett-Packard (HP) said it will contest the $6 million awarded to Colossal Graphics in court yesterday. Colossal Graphics sued the PC giant over an alleged breach of good faith dating back to a 1996 cross licensing agreement. HP had agreed to allow Colossal to sell inkjet printers using HP ink. However, Colossal accused HP of breaking this agreement within months when it started selling its own colour inkjets. The jury awarded Colossal Graphics damages of $6.4 million, but HP claimed there was no evidence to support the $6 million portion, presumably accepting $400,000 worth of blame. HP said it was considering an appeal of the entire verdict, depending on the success of this first action. The disputed $6 million is considerably less than Colossal’s initial claim, when it had been looking for an impressive $75 million. ®

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