Synopsys, Inc. v. Ubiquiti Networks, Inc.
Opinion
Lead Opinion
Orrick, J.
This case stems from the purported interest of defendants Ubiquiti Network, Inc., Ubiquiti Networks International Limited (UNIL), and Ching-Han Tsai to review and evaluate for licensing plaintiff Synopsys, Inc.'s semiconductor electronic design and automation software. In its Second Amended Complaint, Synopsys alleges that defendants fraudulently gained access to its copyrighted software and related support materials and used evaluation license keys and counterfeit keys to repeatedly and illegally access and copy those programs and materials over the course of three years. When defendants' alleged conduct was discovered by Synopsys-through embedded "piracy tracking" tools (as described by Synopsys) or "spyware" (as described by defendants)-Synopsys sued.
Ubiquiti and UNIL counterclaimed based on Synopsys's use of the piracy tracking tools. They argue that Synopsys's conduct-hiding or failing to disclose the presence and operation of the anti-piracy software, using the anti-piracy software to access information on defendants' systems, and then sharing defendants' confidential information with third-parties-violated the parties' master non-disclosure agreement (MNDA) as well as…