TCS sets aside Rs 2,745cr as contingent liability in Epic case
Tata Consultancy Services (TCS) today said it has set aside Rs 2,745 crore (USD 420 million) as contingent liability following the reduced damages pronounced by a US court in its legal tussle with Epic Systems Corporation.
The company, in a regulatory filing, asserted that it has received legal advice that the order and the reduced damages awarded "are not supported by evidence presented during the trial and a strong appeal can be made to superior court to fully set aside the order".
In October 2014, Epic had filed a legal claim against TCS in the court of Western District Madison, Wisconsin alleging infringement of Epic's proprietary information.
In April last year, TCS received an unfavourable jury verdict awarding damages totalling Rs 6,145 crore (USD 940 million) to Epic.
However, last month, the Mumbai-based company received a Court order that reduced the damages to Rs 2,745 crore to Epic.
TCS added that "an amount of Rs 2,745 crore is considered as contingent liability".