TCS records Rs 2,809 crore as contingent liability for Epic law suit
Epic had filed the law suit against TCS in 2014 alleging that the company had stolen its intellectual property.
Epic had filed the law suit against TCS in 2014 alleging that the company had stolen its intellectual property. In 2016, Epic won a jury award of $940 million. In 2017, the Wisconsin court judge lowered the amount of the award to $420 million to comply with caps on punitive damages in such cases.
“During the current quarter, pursuant to US court procedures, a letter of credit has been made available to Epic for Rs 2,809 crore ($440 mln) as financial security inorder to stay execution of the judgement pending post-judgement proceedings and appeal. Accordingly, an amount of Rs 2,809 crore is disclosed as contingent liability,” the company said in an explanatory note to its third-quarter results.
TCS said it still intended to appeal the reduced award.