96 Cal. Daily Op. Serv. 15, 96 Daily Journal D.A.R. 48 A.T. Kearney, Inc., a Delaware Corporation v. International Business MacHines Corporation, a New York Corporation

73 F.3d 238 96 Cal. Daily Op. Serv. 15 , 96 Daily Journal D.A.R. 48 A.T. KEARNEY, INC., a Delaware Corporation, Plaintiff-Appellant, v. INTERNATIONAL BUSINESS MACHINES CORPORATION, a New York Corporation, Defendant-Appellee. Nos. 94-35890, 94-36183. United States Court of Appeals, Ninth Circuit. Argued and Submitted Nov. 14, 1995. Decided Dec. 29, 1995. R. Daniel Lindahl, Bullivant, Houser, Bailey, Pendergrass & Hoffman, Portland, Oregon, for plaintiff-appellant. Michael H. Simon, Perkins Coie, Portland, Oregon, for defendant-appellee. Appeal from the United States District Court for the District of Oregon. Before: BROWNING, RYMER and T.G. NELSON, Circuit Judges. T.G. NELSON, Circuit Judge: 1 A.T. Kearney, Inc. ("Kearney"), a management consulting firm with expertise in systems technology, was retained by Fred Meyer ("FM") to develop a management information system ("MIS" or "the System") for FM stores. The MIS devised by Kearney employed International Business Machines Corporation ("IBM") mid-size computers. When new FM management decided the System was a failure, FM sued Kearney. The parties eventually settled. While the action was pending, Kearney brought suit against IBM…