Epic Systems, an American company, filed a lawsuit in 2014, alleging that Tata Group companies stole its intellectual property to develop its own product. In that case, a fine of Rs.3 thousand crores was imposed on TCS, but now it has been reduced to Rs.1,000 crores. This information was reported by TCS in the stock market.
Epic Systems is a US-based company. The company manufactures and provides medical software. The company hired India’s TCS to implement its healthcare software. In 2014, Epic Systems went on to present in a Wisconsin court that TCS stole 6,000 files by posing as an employee rather than a consultant.
In this case, in 2016, the court found TCS guilty. It also ordered Epic Systems to pay Rs 6,200 crore as compensation. A year later in October 2017, a Wisconsin court reduced the compensatory and punitive damages to Rs 2,700 crore. Out of which, it ordered Rs 1,900 crore as punitive damages and Rs 925 crore as compensation.
TCS appealed the decision to the Chicago Court of Appeals. The court ordered that the punitive damages be reassessed. Accordingly, the Wisconsin court reduced the penalty and compensation amount from Rs 2,700 crore to Rs 1,000 crore. TCS said in its defense that it did not misuse Epic’s documents or benefit from them.