Autodesk, Inc. (Nasdaq:ADSK) and ZWCAD Software Co., Ltd., ZWCAD Design Co., Ltd., HK ZWCAD Software Ltd., and GLOBAL FORCE DIRECT, LLC. (doing business as ZWCADUSA) (collectively, “ZWSoft”) have agreed to settle lawsuits pending in The Hague and the U.S. District Court for the Northern District of California. AutoCAD is Autodesk’s flagship product and one of the most widely used design software tools in the world.
After discovering evidence indicating that ZWSoft had improperly used AutoCAD intellectual property in developing its ZWCAD+ products, Autodesk filed suit before The Hague in the Netherlands on February 19, 2014 (Case No. C/09/460412 / KG ZA 14-178) and in the U.S. District Court for the Northern District of California on March 26, 2014 (Case No. 14-cv-1409-EJD). In these lawsuits, Autodesk alleged that the AutoCAD source code had been misappropriated and improperly used when developing ZWCAD+.
Although ZWSoft initially denied the allegations, ZWSoft subsequently discovered that an employee had, in fact, improperly used AutoCAD intellectual property developing ZWCAD+.
As a result of this discovery, ZWSoft’s CEO, Truman Du, has publicly acknowledged ZWSoft’s error and agreed to stop selling, licensing, or otherwise making available ZWCAD+ from all markets, effective immediately. The parties have entered into a binding settlement to resolve their pending lawsuits, with an undisclosed sum provided to Autodesk.
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Noah Cole, +1 415-580-3535