American History 1988
Chapter 178 - 172: They’re All My People

Chapter 178: Chapter 172: They’re All My People

Boris Feldman was originally vacationing by the sea, having attained a temporary victory in the highly watched Byte & Bell case, and WSGR had made a little name for itself in the Bay Area.

Now the lawsuit was set to enter a state of prolonged entanglement, and it was highly unlikely that there would be direct, heated confrontation between the parties, so it was also time to relax a bit.

However, Boris Feldman, who was enjoying the beach and models in San Francisco, hadn’t even had the chance to pamper himself before he was called back by a phone call from Dean.

After reading the newspaper in his hands, Boris Feldman’s originally serious expression gradually relaxed.

"Dean," I think Bell’s statement is more like bravado,"

Dean, Valentine, and Durell exchanged glances. "Bravado?"

Alright, because of this newspaper, Byte Company had to convene another board meeting.

"Yes," pushing his glasses up on his nose, Boris Feldman analyzed calmly, "First, I don’t believe their motion will be granted."

Bell had applied to move the courtroom to the Virginia district, citing California’s environmental bias towards Byte Company as a reason.

This was a clever move; Washington was their stronghold, and AT&T and Bell undoubtedly had richer political and legal resources on the East Coast.

But the motion was still just an application, and whether it would be approved depended on the stance here in California.

"First of all, even if an application to change the courtroom is made, it is more likely that the mediation site would be relocated to another area of California.

Changing the venue across states is very troublesome in terms of procedure, and usually, only cases that reach the Federal Supreme Court have the potential to achieve this kind of motion.

Secondly, the Virginia district has more pending cases than California, and if we were to schedule there, it is highly likely our next hearing would not take place until next year.

This isn’t necessarily bad news for us; the longer it drags on, the better for us."

Boris Feldman folded the newspaper in his hand a few times and tossed it onto the table, "Furthermore, even if the motion to change the courtroom is approved.

All decisions made by the Northern California District Court beforehand would still be valid, meaning we don’t have to worry about compensation for damages.

After changing the court, the litigation that is retried will be only about patent issues and standard issues, and WSGR is still confident that Bell Company will leave empty-handed."

Dean and the others exchanged looks, then instructed Boris Feldman, "Can we file an objection to their motion?"

"Of course, WSGR will arrange that right away," Boris Feldman said and then took out his Motorola to call the law firm.

"Good, we don’t want AT&T changing the current case situation." No doubt, the progress of the lawsuit at this time was in Byte Company’s favor.

After Boris Feldman left to make phone calls, Dean turned to look at the other directors,"Maybe we should consider finding a reliable law firm in Virginia as well."

Valentine raised his hand with enthusiasm, "I’ll make contact, I’ve been on the East Coast before, and some connections might still be useful."

This was just as a precaution. WSGR had a lot of influence in Silicon Valley, but that would pale in comparison if moved to Virginia.

In America, it is common for one lawsuit to employ several renowned lawyers for a joint response, and the complex legal system sometimes even overwhelms the law firms themselves.

"This newspaper came at an inopportune time; I guess MCI won’t let go easily now," Durell was well aware of the impact Bell’s statement would have at this time.

If the trial location moved to Virginia, the final outcome on the patent issue could be unfavourable for Byte Company.

Though they wouldn’t face compensation, if the court supported Bell’s claim and ordered Byte Company to stop using Bell’s related patents, it would still be a significant blow to the Teams software.

Bell had the right to do this since they were currently the holders of the patent.

As long as Bell had the audacity to insist on unilaterally stopping the license, Byte Company really didn’t have much of a solution.

Dean’s group originally estimated that California wouldn’t agree with Bell’s proposal since it would go against California’s business atmosphere encouraging the circulation of technology.

Both the California Federal Government and the Federal Court take a dim view of this practice, but shifted to Virginia, and the outcome became an unknown.

And should such an event occur, MCI’s alternative voice coding technology would become critically important.

MCI could then jack up the price and force Byte Company to accept their terms.

Dammit! Just when everything was going smoothly, complications arose, which also made Dean somewhat frustrated.

"Guys, although this isn’t good news, it’s not beyond salvage.

I will contact our connections in the Northern District Court to see if there’s any inside information on the case,"

"OK, I’ll go have another talk with MCI’s Dave," Durell decided to focus on the MCI front; if they could secure an alternative, the problem would be solved.

"Then I’ll reach out to some old friends on the East Coast, so at least we won’t be left alone in Virginia."

Valentine prepared to go back and sift through his address book, uncertain if the old numbers he had were still valid.

Seeing that everyone had their tasks, David Morgentaler shrugged, "My connections are in the military, which might not be of much help.

However, during the earlier years when lobbying in Washington to cut capital gains taxes, I made some old friends along the corridors of power."

David Morgentaler may be advanced in years now, but in his forties and fifties, he frequently jumped on short flights from Cleveland.

Then he would rush into the marble halls of Capitol Hill alongside other venture capitalists from San Francisco to make a united stand.

Yes, the capital gains tax was able to drop from 50% in the 70s to 20% today, and the lobbying group organized by David Morgentaler played a pivotal role in that.

Because of this contribution, David Morgentaler also served as the chair of the American Venture Capital Committee.

Seeing everyone actively responding to this sudden situation, Dean shrugged with optimism, "Good, let’s move, then!"

After experiencing a surge in sales in June and July, Byte Company finally showed a profit on its books.

More than 300,000 copies of Teams software brought in a post-tax profit of over 7 million US Dollars, and counting only the liquid assets, Byte Company could mobilize twenty to thirty million US Dollars.

With ample ammunition, it gave everyone enough confidence to resolve issues by spending money, if necessary.

Back in his office, the first thing Dean did was dial James Weir’s number.

"Judge Weir, have you seen today’s newspaper?"

"Yeah," James Weir glanced at his assistant, who very perceptively left the office.

"Bell is moving to change the trial venue!" Dean paced back and forth in his office, hands on his hips.

"Don’t worry, Dean, as far as I know, they have not submitted a formal written request yet." James had also been closely following this matter.

"What do you mean?" Dean was startled, "They are just talking about it verbally?"

"No, I wouldn’t rule out that they are serious about it. But I haven’t heard any buzz about it from Swase, which is somewhat unusual."

"Wait, isn’t Judge Swase one of Bell’s people?" Dean grew more confused as he listened.

"Swase is indeed from the East Coast, but this is the West Coast, Dean," James hinted pointedly.

Dean’s eyebrows twitched, "So, have we reached some sort of agreement with him?"

"He can’t make it too obvious, although Swase could be involved in Byte Company’s third round of financing, publicly he needs to oppose you.

He belongs to the East Coast, and when necessary, he must make his stance clear, despite his sympathy for Byte Company."

James had already won over most of the judges in the Northern District Court, with Byte Company’s unissued stock options being the trump card.

It’s no secret that Byte is expected to succeed in going public, presenting a once-in-a-lifetime opportunity.

Under James’ monetary assault, even Swase had been stealthily brought over to his side.

Of course, to maintain his relations on the East Coast and to save face for AT&T, Swase would continue to cast opposing votes.

That’s why, despite Swase’s internal opposing vote at the recent hearing, Byte Company still secured a favorable ruling.

The only opposition came from him, Swase; everyone else sided with Byte Company.

"Wow~" Dean was somewhat surprised by James’ tactics, "So now Judge Swase is also ’our’ man?"

"Effectively, yes, but not openly," James replied to the question in a somewhat tongue-twister manner.

"So, do we have a way to dismiss Bell’s motion?" Dean began to relish the taste of power.

"Dean, don’t let power cloud your judgment," James felt the need to remind him, "Every decision in court must be made within procedural rules.

Plus, even if we outright reject the motion, Bell can still appeal. And once the case reaches the appeals court, it would be out of our control."

Right now, things were at an ideal stage; Dean had just made the necessary connections at the Northern District Court.

If they pushed Bell too hard and he decided to appeal, they could lose the excellent situation they were in.

And at the higher level of the appeals court, Dean didn’t have any influence to wield.

"So, what can we do now?"

"First, you should go out and gather some information from other sources, like speaking directly with Bell.

I suspect they haven’t formally submitted a written report but are more like giving you a heads up.

Don’t forget, the court also hopes that you’ll settle, which would be beneficial for everyone.

Secondly, if the judge does receive an official written request from Bell, I will try to help you delay things."

"OK, thank you, Judge Weir. If it weren’t for the recusal rules, I’d really like to treat you to the Emperor package service in Los Angeles."

James Weir laughed, "I think Bell might be quite surprised by your idea."

"Oh, Aunt Orina is very nice, so I wouldn’t get Uncle Bell involved," Dean decided to reserve the Emperor package for Judge Weir.

"Ah ha~ That would indeed be an honor. But the pressing matter is to deal with the current lawsuit; I think the outcome won’t be too bad."

"Of course, I share the same confidence," Dean said politely before hanging up the phone.

Perhaps he had indeed overlooked another possibility; it seemed time to give Bell a call.

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