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SCO Reports on De Minimis Assets Sale & Ocean Park's 6th Bill
Monday, May 03 2010 @ 11:45 AM EDT

SCO has now filed with the bankruptcy court in Delaware its report on the small stuff it sold off, what it calls its First Quarterly Report of De Minimis Asset Sales Consummated By the Chapter 11 Trustee Pursuant to Order Approving Certain Procedures for the Sale, Transfer or Abandonment of De Minimis Assets.

It's their report on selling off the minor stuff, from a financial standpoint, like fork lifts and domain names. Caldera Graphics in Paris finally got the Caldera.com domain name it's been wanting for years, for just 500 Euros. That means, of course, that the prior robots.txt file no longer blocks access on Internet Archive. Surprise! Linuxtraining.com got sold for $10,000.

Ken Nielson bought a laptop, which will not surprise geeks of the security variety. He paid $100, which does surprise me a little. And Canopy got a conference table and chairs. And SCO really did sell off a fork lift for $700.

And Ocean Park has filed its sixth bill. $91,829.50. Heavens. For the month of March. Well. You'd have to sell a lot of fork lifts to pay them off. Who knew bankruptcy could be so lucrative? They do know the idea is to take in more than they spend, right? And that creditors are supposed to get at least some of the money? I mean, without all the professional help SCO has been getting in bankruptcy court since September of 2007, Novell could have been paid on the very first day SCO filed for Chapter 11 protection. There seems to be an imbalance in the universe.

Update: And news on the US Supreme Court front. SCO has been given more time to respond to Novell's petition. The new date is August 5.

So, what have Ocean Park folks been doing for their $91,829.50? Some of it is rather vague. This covers the time period of the sale of mobility assets and the finalization of the Yarro loan, so the vagueness is a little frustrating. There are several items about conference calls regarding various "commercial, financial issues." Whatever that means.

This sounds good, though: On March 23, an associate worked on the following:

Coordinate worldwide storage and document retention efforts; email re the same.
At least they don't say they are turning them into toilet paper. But what would this be on the 18th?
Call on The Open Group communication path forward and economic finalization.
On the 26th, there is another reference to the Open Group, that might explain it at least in part:
Analyzed sale of new units and upgrades over the past year in preparation for call with The Open Group.
Toward the end of March you see several items regarding revenues in Asia, and Vinod Bhat wrote up a draft summary. I would love to read that one, assuming it's about Japan. He also spent an hour on preparing a "schedule of historical litigation expenses." Only an hour? We're talking millions. And for what?

Almost 45 hours were spent on "Prep/Participation in Company management calls and meetings". Meetings. 45 hours of meetings in one month. I'll bet you wish you could bill for that. Their bill is $19,003.50 just for those meetings. Another 29.4 hours were spent on "Prep/Participation in Meetings/Conf. Calls with Counsel and Ch. 11 Trustee" for a total of $11,828.00. So almost another 30 hours preparing for more meetings and then participating. That's 45 plus 29.4 hours of meetings in one month, all billed to the debtor.

Cluebat: just declare Chapter 7. Then tell the world you are really, really sorry you caused all this unnecessary trouble.

There. I said it.

That meetings total doesn't even count the 32.2 hours spent analyzing and preparing court filings, at $10,706.00. Preparing court filings? I thought lawyers did that.

But the biggest item is $22,371.50 working on the restructuring plan. Ah, yes. The restructuring plan. And yet, SCO remains un-restructured, does it not? It is totally and utterly depending on a lottery dream that doesn't appear to be coming true. I didn't know bankruptcy court let a debtor gamble away all the creditors' money. See how much we can learn on Groklaw?

Seriously, for a minute, they are hoping the judge in SCO v. Novell will give them the copyrights the jury wouldn't. But here's the cluebat part: even if it were to get them in some crazed alternate universe, it can't successfully sue anyone over them, because they distributed all the files under the GPL. It's an insurmountable obstacle. [Update: A reader points out that it's actually worse for SCO, in that Novell has been found to be the copyright holder. Even if the judge were to force Novell to hand over the copyrights now, "Novell, the copyright holder, has distributed under the GPL such of any unix code as is in the linux kernel and SCO cannot acquire by the transfer any better title than Novell has at the time of transfer. What has got into the kernel is there and that is that." That's if there actually were any such code in the kernel, which I have yet to see demonstrated.]

Unfortunately, SCO can't learn anything except the hard way, so if the judge fulfills their dream, we'll have to play it all out, until they find out that I'm right, and I told them this since 2003, and I wasn't alone. Eben Moglen, lawyer and expert on the GPL, explained it to them too. Here's just one example. So I sincerely and most whole-heartedly hope that if we are forced to touch all the bases before SCO gets it, that in the end the court rules the litigation was frivolous. Because to me it is, and it always was. They can't say nobody told them.

Here are the documents:

04/30/2010 - 1116 - Status Report // First Quarterly Report of De Minimis Asset Sales Consummated By the Chapter 11 Trustee Pursuant to Order Approving Certain Procedures for the Sale, Transfer or Abandonment of De Minimis Assets Filed by Edward N. Cahn, Chapter 11 Trustee for The SCO Group, Inc., et al.. (Attachments: # 1 Exhibit A # 2 Certificate of Service) (Fatell, Bonnie) (Entered: 04/30/2010)

04/30/2010 - 1117 - Monthly Application for Compensation (Sixth) of Ocean Park Advisors, LLC for the Period of March 1, 2010 Through March 31, 2010 Filed by Ocean Park Advisors, LLC. Objections due by 5/21/2010. (Attachments: # 1 Notice # 2 Exhibit A # 3 Exhibit B) (Fatell, Bonnie) (Entered: 04/30/2010)

And speaking of fork lifts, a truck came by and removed the SCO logo from the building where they have offices the last week of April. A reader sent me the photo. If I can figure out how to make it smaller, I'll share it with you.

Update: Thanks to directions from a reader on how to use Gwenview, here it is:

Of course, this is Linux, so there are lots of other instructions on how to do the same task in other ways. Help yourself. And, here's a picture a member sent me years ago, showing you how the building used to look. Note the prophetic detail:


  


SCO Reports on De Minimis Assets Sale & Ocean Park's 6th Bill | 329 comments | Create New Account
Comments belong to whoever posts them. Please notify us of inappropriate comments.
Corrections
Authored by: artp on Monday, May 03 2010 @ 11:51 AM EDT
Please keep to errors of fact in the article, not errors of opinion.

Title could read: eror -> error


---
Userfriendly on WGA server outage:
When you're chained to an oar you don't think you should go down when the galley
sinks ?

[ Reply to This | # ]

Off Topic Thread
Authored by: artp on Monday, May 03 2010 @ 11:54 AM EDT
Any topic sufficiently divorced from the reality of this article such that it
does not belong in the hierarchical upper level of this threaded comments tree.

[translated to SCOspeak gratis]

---
Userfriendly on WGA server outage:
When you're chained to an oar you don't think you should go down when the galley
sinks ?

[ Reply to This | # ]

Document retention is just a euphemism
Authored by: Dave Ivedorne on Monday, May 03 2010 @ 11:56 AM EDT
...and "Coordinate worldwide storage and document retention efforts",
is *entirely* about turning as much of them into toilet paper as can be done
without ending up behind bars.

---
IANAL

[ Reply to This | # ]

News Picks Thread
Authored by: artp on Monday, May 03 2010 @ 11:57 AM EDT
Comments on articles from the sidebar "Groklaw Latest News Picks",
which will be unidentifiable after a time unless you reference the article by
name and/or URL.

---
Userfriendly on WGA server outage:
When you're chained to an oar you don't think you should go down when the galley
sinks ?

[ Reply to This | # ]

Hyenas, the lot of them
Authored by: Anonymous on Monday, May 03 2010 @ 11:58 AM EDT
Growing fat on the sick and weak. We need a Reformation scale event, nailing up
notices on courtroom doors saying "We do not need and shall not tolerate
lawyers interceding with the higher powers on our behalf."

We need to starve these parasites, not hire one swarm of vampires to defend us
from another lot. That only lets you choose the leech that bleeds you dry.

[ Reply to This | # ]

Photo explains it ...
Authored by: Anonymous on Monday, May 03 2010 @ 12:05 PM EDT
Face it, if your office looked out at a scenic view of those mountains, wouldn't
you daydream alot. The trouble is that they started believing their dreams.

[ Reply to This | # ]

SCO Reports on De Minimis Assets Sale & Ocean Park's 6th Bill
Authored by: Anonymous on Monday, May 03 2010 @ 12:14 PM EDT
If the SCO logo was removed from the building does that mean
that SCO moved to some other place? Perhaps I missed that
event or I just plain forgot.

They certainly do have original street names out there in SCO
land.

[ Reply to This | # ]

Resizing images
Authored by: Anonymous on Monday, May 03 2010 @ 12:20 PM EDT
Using Gimp:

Image -> Scale image
Set Width to 400 or 600, your preference, hit tab to see
the corresponding Height, then finish with Scale.

you can always undo and tinker with it some more.

Post the resized image, and make the image a link to the full sized image if
desired.

[ Reply to This | # ]

more time to file - SCO Reports on De Minimis Assets Sale & Ocean Park's 6th Bill
Authored by: Anonymous on Monday, May 03 2010 @ 03:05 PM EDT
SCOTUS meet SCOG!

It amazes me that SCOG is able to practice their delaying tactics even to the
highest court in the land!

[ Reply to This | # ]

On Spending
Authored by: sproggit on Monday, May 03 2010 @ 03:51 PM EDT
I regret that I don't have time to do this... but for those out there with time
on their hands, I wonder if it's worth - taking up PJ's point - adding up all
the money that SCO has paid out since it went into Chapter 11, and compare that
with the amount of cash that it said it owed when it filed?

It's unlikely to be a completely accurate figure, because of course the company
continues to earn revenue, to pay salaries and utility bills, that sort of
thing.

I guess - though I don't know for sure - that some of the money they have been
generating since filing would be license monies due to Novell. I don't suppose
they have been itemized though.

The reason this struck me was from PJ's comment. Just how much of the
"original debt at time of filing" could SCO have paid off if they
hadn't been paying the lawyers and had been paying the people to whom they owed
money?


Instinct tells me that if SCO had been paying creditors and not lawyers or
"advisors" they would be close to paid up by now.

[ Reply to This | # ]

  • On Spending - Authored by: Anonymous on Monday, May 03 2010 @ 07:44 PM EDT
The Open Group
Authored by: Anonymous on Monday, May 03 2010 @ 04:03 PM EDT
ok, so what's with "the open group" stuff?

do they want to join? change of business plan & sco will go
back to being an open-source company? :P (tho apparently the
name "caldera" is out)

surely, they are not going to sue(or threaten to sue) over
something? (name/trademark rights?) o__0

[ Reply to This | # ]

Copyrights
Authored by: Anonymous on Monday, May 03 2010 @ 04:19 PM EDT
"... even if it were to get them in some crazed alternate universe, it
can't successfully sue anyone over them, because they distributed all the files
under the GPL"

It's more difficult for SCO than that. The jury has decided that Novell do, at
present, own the copyrights, and Novell have have been distributing, via their
wholly owned subsidiary SUSE, the linux kernel under the GPL including any unix
code they own that it may (but almost certainly does not) contain.

Novell may or may not be required under Amendment 2 of the APA to transfer all
or part of the unix copyrights by way of specific performance, but that is of no
relevance to whether SCO can now sue linux users over them. Novell, the
copyright holder, has distributed under the GPL such of any unix code as is in
the linux kernel and SCO cannot acquire by the transfer any better title than
Novell has at the time of transfer. What has got into the kernel is there and
that is that.

SCO may want to argue Novell were in breach of the APA in putting the code into
the kernel, but their only course of action is against Novell, not linux kernel
users. This was the point being made by Jacobs when he said that so far as
linux is concerned it is all over.

[ Reply to This | # ]

The Open Group ?
Authored by: Anonymous on Monday, May 03 2010 @ 05:20 PM EDT
Why would they need to talk to The Open Group about their recent sales figures?
SCO does not show up on their membership list.

Surely they aren't going give their UnixWare business away?

[ Reply to This | # ]

Linuxtraining.com got sold for $10,000.
Authored by: Anonymous on Monday, May 03 2010 @ 06:08 PM EDT
They still owned a domain with that name? Interesting, objective description of
an essential part of the history of this company that goes around nowadays
calling itself "SCO."

And mentioned in a court document that they had to file, themselves, too.

Priceless.

[ Reply to This | # ]

The new photo says it all
Authored by: hAckz0r on Monday, May 03 2010 @ 06:41 PM EDT
In the new photo (comparing it to the old one) they have just removed the
"SCO" letters from the front of the building. That means they are
either so desperate for money that they think that those three letters will get
them something at auction (doubtful), otherwise they are no longer planning on
doing business as "SCO" in that building. Or perhaps even, doing
business as "SCO" in 'our Universe', e.g. the other one they have been
operating out of for the past several years must be better/greener than this
one.



---
DRM - As a "solution", it solves the wrong problem; As a "technology" its only
'logically' infeasible.

[ Reply to This | # ]

Gamblers
Authored by: The Mad Hatter r on Monday, May 03 2010 @ 08:20 PM EDT

I think that the old management of TSCOG should have gone to Las Vegas - they
would have had a better chance for a payout there.

As to Judge Cahn, he can only work with what he has been told, and if what he
was told was incorrect, well, that's not his fault, though I would think that he
should have done some research on his own to find out if what he was told was
the truth.

Unfortunately Novell is the loser, since there isn't any money left now.


---
Wayne

http://madhatter.ca/

[ Reply to This | # ]

  • Gamblers - Authored by: Vic on Monday, May 03 2010 @ 08:48 PM EDT
SCO Reports on De Minimis Assets Sale & Ocean Park's 6th Bill
Authored by: charlie Turner on Monday, May 03 2010 @ 08:50 PM EDT
If it were only a 28 foot bucket, it had better go for about $35,000.00 new, or
a bit less if it were a few years old. Any less than that, and I'd get an
extension ladder and a sawzall, and lookout below!

[ Reply to This | # ]

What does SCO need to accomplish for a clear win?
Authored by: cassini2006 on Monday, May 03 2010 @ 09:14 PM EDT

I'm losing track of what SCO needs to win to get its Billions of $$$. This is my list so far:

1. Overturn the jury verdict and/or convince Judge Stewart to overrule it.
2. Novell must not win its appeal at the Supreme Court.
3. Find infringing code in Linux.
4. Overcome the GPL/BSD issues (ie: find SCO or Novell code in Linux that SCO/Caldera has not already distributed under the GPL, and that SCO clearly owns).
5. Have code admitted in discovery against IBM. (Overcome Judge Well's rulings.)
6. Win at trial against IBM.
7. Find investors to invest in a bankrupt company with no assets, at every step along the way.
8. Convince Judge Gross to bankroll the above activities.

Have I missed anything? Does SCO have a simpler route to win billions?

[ Reply to This | # ]

Spreadsheet summary of Blank Rome, OPA billing
Authored by: Anonymous on Monday, May 03 2010 @ 09:39 PM EDT
Summary spreadsheet (Google Doc) of Blank Rome and OPA Billing.

Bottom line:
Estimated Accrued Expenditures to date: $1,695,242
Currently Billed to Estate: $922,267
Billed, CNO approved: $845,813

[ Reply to This | # ]

And SCO really did sell off a fork lift for $700
Authored by: Anonymous on Monday, May 03 2010 @ 11:19 PM EDT
Why are you surprised? (or at least this reads this way)

Now that they sold off, their legal paperwork delivery
vehicle, one of the firms can bill them more in bankruptcy
court. (employee's x number of hours to haul all these
documents to the courthouse) ;)

[ Reply to This | # ]

SCO Reports on De Minimis Assets Sale & Ocean Park's 6th Bill
Authored by: Anonymous on Tuesday, May 04 2010 @ 08:12 AM EDT
SCO has read Aesop's fable about the dog in the manger and said:

"We can do better than that. Let's see if we can get rid of any remaining
assets so when we do go into Chapter 7 there will be nothing left for any of
those people who had the temerity to disagree with us on the ownership of
UNIX."

[ Reply to This | # ]

Extending Justice Sotomayor's goodwill?
Authored by: IMANAL_TOO on Tuesday, May 04 2010 @ 02:20 PM EDT
Hmmm.

There is a lot of extensions going on, again...

Jan 7 2010 Application (09A647) to extend the time to file a petition for a writ of certiorari from January 18, 2010 to February 18, 2010, submitted to Justice Sotomayor.
Jan 8 2010 Application (09A647) granted by Justice Sotomayor extending the time to file until February 18, 2010.
Feb 3 2010 Application (09A647) to extend further the time from February 18, 2010 to March 4, 2010, submitted to Justice Sotomayor.
Feb 4 2010 Application (09A647) granted by Justice Sotomayor extending the time to file until March 4, 2010.
Mar 4 2010 Petition for a writ of certiorari filed. (Response due April 7, 2010)
Mar 26 2010 Order extending time to file response to petition to and including May 7, 2010.
Apr 29 2010 Order further extending time to file response to petition to and including August 5, 2010.


Sotomayor has something to learn, and will.


---
______
IMANAL


.

[ Reply to This | # ]

  • Concerns - Authored by: Anonymous on Wednesday, May 05 2010 @ 10:10 AM EDT
Fundraiser?
Authored by: qubit on Thursday, May 13 2010 @ 03:31 AM EDT
Any guesses as to where the SCO sign went after they took it down?

I hear that ESR's a big gun nut, so I wonder if someone could locate the sign,
drag it out to a shooting range near some FOSS conference and do a
Shoot-The-SCO-Sign-For-A-Buck event to raise money for something like Groklaw or
Linux (kernel) development.

Sure would be cathartic.

[ Reply to This | # ]

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