From: TOWN.CRIER@MD-B.Prime.COM (Roland Kittredge - Marketing 508-620-2800 x4666)
Subject: Supreme Court Decision VMI/Prime
Reply-To: Info-Prime@Blx-A.Prime.COM
Date: Wed, 14 Oct 1992 21:09:44 GMT

10/13 Computervision statement on Supreme Court ruling in Virtual
Maintenance case

  BEDFORD, Mass.--(BUSINESS WIRE)--The U.S. Supreme Court Tuesday
ordered that an antitrust case brought against Computervision Corp.
(formerly Prime Computer Inc.) by Virtual Maintenance Inc. be returned
to the United States Court of Appeals for the Sixth Circuit for further
consideration in light of a recent Supreme Court decision in an
antitrust case involving Eastman Kodak Co. and Image Technical Services
Inc.
  ``The Supreme Court action does not reverse the Sixth Circuit ruling
in favor of Prime and is not a decision or an expression of an opinion
on the merits of the case,'' a company spokesman said.  ``The high
court is merely asking the lower court to review its previous ruling in
light of the Kodak decision.''
  The company continues to believe that the Kodak decision should not
affect the Sixth Circuit's ruling, which overturned a jury verdict
against Prime.
           CONTACT:  Sterling Hager Inc., Lincoln
                     Joe Gavaghan, 617/259-1400
18:27 ET   OCT 13, 1992
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10/14 Computervision Says High Court Does Not Reverse Appeals Ruling

   BEDFORD, Mass. -DJ- Computervision Corp. (CVN) said the Supreme
Court decision to set aside the ruling of a federal appeals court that
reversed a $25 million jury award against the company in an antitrust
suit does not reverse the Sixth Circuit ruling in favor of the
company.
    In a press release, Computervision, formerly Prime Computer Inc.,
also said the action is not a decision or an expression of an opinion
on the merits of the case.
    ''The high court is merely asking the lower court to review its
previous ruling in light of'' the recent Supreme Court decision in an
antitrust case involving Eastman Kodak Co. (EK) and Image Technical
Services Inc., the company said.
    The company said it continues to believe the Kodak ruling should
not affect the U.S. Court of Appeals ruling.
    12:27 PM
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PRM - PR NEWSWIRE (PR)

10/14 U.S. SUPREME COURT ISSUES A SECOND MAJOR RULING IN FAVOR OF
INDEPENDENT SERVICE ORGANIZATIONS

  SAN FRANCISCO, Oct. 13 /PRNewswire/ -- For the second time in four
months, the United States Supreme Court has issued a major ruling in
favor of independent service organizations bringing antitrust suits
against manufacturers of complex durable equipment.  Virtual
Maintenance Inc., one of the leading members of Independent Service
Network International (ISNI), the largest trade organization of
independent computer and medical equipment maintainers, has today
prevailed in its petition to the Supreme Court to vacate an appellate
court decision which had taken away from Virtual the $25.3-million
verdict which it obtained against Prime Computer Inc. in October 1990.
  The earlier Supreme Court decision, Eastman Kodak Co. v. Image
Technical Service, et al., held last June that the antitrust laws could
apply to aftermarkets, such as the maintenance of complex durable
equipment like copiers or computers.  That case, however, had been
decided by a judge in a summary judgment proceeding before a jury trial
could occur.  The Supreme Court sent it back to the trial court for a
jury trial, which has still not yet occurred.
  In contrast, the Virtual case has gone through a full jury trial.
therefore, the Virtual case goes a step beyond Kodak because no further
trial need occur.  The Supreme Court sent the Virtual case back to the
appellate court, not the trial court, so that the appellate court can
reconsider its now vacated decision in light of the Kodak opinion.
  Both Kodak and Virtual involved an antitrust practice called tying.
Kodak required purchasers of its unique spare parts also to purchase
photocopier maintenance from Kodak, that is, Kodak "tied" maintenance
purchases to spare parts purchases.  Prime required purchasers of its
unique software updates also to purchase computer maintenance from
Prime.
  "We are delighted that one of our members has had the courage and
energy to fight this case through to the Supreme Court," said Claudia
Betzner, executive director of the ISNI.  "This decision shows that the
Kodak case was not a fluke and that our legal system will protect
service companies in competition with manufacturers."
  ISNI's general counsel, Ronald S. Katz of the law firm of Coudert
Brothers, stated that "These two major decisions preserve competition
in aftermarkets.  Because most economic activity now occurs in
aftermarkets -- like blades for razors, film for cameras, or service
for computers or cars -- these opinions will have a tremendous positive
impact on our economy.
  /CONTACT:  Claudia Betzner, executive director of the ISNI,
404-816-1610, or Ronald S. Katz of Coudert Brothers, 415-986-1300, for
ISNI/
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Newsgroups: comp.sys.prime