APPN - Appian Just Took Another Step to a $2 Billion Award
Multibillion-dollar legal awards aren't particularly common for publicly traded companies, so it raised eyebrows when Appian (NASDAQ: APPN) was awarded a $2.036 billion judgment over rival Pegasystems (NASDAQ: PEGA) in May.
Appian, the low-code software company, sued Pegasystems for its "unjust enrichment" after the latter company hired a contractor, which it referred to internally as a "spy," to give it trade secrets about Appian; Pegasystems then used those to train its sales force to better compete with Appian.
Though the award will not be paid out until the appeals process is exhausted, which could take years, Appian took a step closer to collecting the $2 billion earlier this month when a judge rejected Pegasystems' motion to overturn the verdict. The court also ordered Pegasystems to pay $23.6 million as reimbursement for Appian's attorney fees. Pegasystems must pay Appian 6% interest on the judgment, equivalent to $122 million a year, as long as the award is outstanding, adding to the amount so long as an appeals court doesn't reverse the verdict.
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Appian Just Took Another Step to a $2 Billion Award