TCS to Appeal After Wisconsin Jury Slaps $940M in Trade Secrets Verdict

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Washington, DC – Tata Consultancy Services (TCS), a leading global IT services, consulting and business solutions organization, announced today (April 16) that it would appeal the verdict after a Wisconsin jury ruled in favor of Epic Systems in a trade secrets verdict.

According to court documents, Tata Consultancy Services Ltd. and Tata America International Corp. were ordered to pay $240 million to Wisconsin-based Epic for ripping off its software, along with $700 million in punitive damages, for stealing information related to Epic Systems Corp.’s healthcare software.

Confirming that it had received a jury verdict in a recently completed jury trial in a lawsuit filed by Epic Systems in the court of Western District Madison, Wisconsin, TCS said in a statement that it, “did not misuse or derive any benefit from downloaded documents from Epic System’s user-web portal.”

The statement further said, “TCS plans to defend its position vigorously in appeals to higher courts. TCS appreciates the trial judge’s announcement from the bench that he is almost certain he will reduce the damages award.”

Epic had accused the Tata companies of stealing documents and other confidential information tied to the software it builds for health care companies to manage billing, insurance benefits management and referral services, according to case filings.

But TCS denied the allegations saying, “TCS did not misuse or benefit from any of the said information for development of its own hospital management system “Med Mantra’ which was implemented for a large hospital chain in India in 2009.”

“While TCS respects the legal process, the jury’s verdict on liability and damages was unexpected as the Company believes they are unsupported by the evidence presented during the trial,” TCS noted.

TCS said the verdict would have no “impact on the TCS Q4 and FY16 financial results to be announced on Monday, April 18.”

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