NOVELL FILES SUIT ALLEGING UNFAIR TRADE PRACTICES BY NETWORK TRADE CENTER

Orem, Utah , -- July 19, 1995 --Novell, Inc. today announced the filing of
a complaint in the U.S. District Court for the District of Utah, Central
Division against Network Trade Center (NTC) of Sandy, Utah, a software
distributor, alleging copyright infringement, trademark infringement and
unfair competition, interference with existing economic relations, unjust
enrichment and other related causes of action.

Novell's complaint states that NTC has acquired upgrade products through
misrepresentation and in turn sells the products to misinformed end users.
NTC's repeated violation of Novell upgrade policies has resulted in
numerous complaints from end users and resellers who have been victims of
these practices.

In the software industry, it is common to produce improved versions or
"upgrades" of each software product. Novell has adopted a policy of
selling upgrade licenses to original licensees of earlier versions of
Novell software and, in some cases, competitive products, at greatly
reduced prices. Because of the greatly reduced pricing, Novell places
strict conditions on the licensing and use of upgrade products.

"Novell is very concerned that a few illegitimate resellers are misleading
customers in a way that penalizes them and undermines the businesses of
our thousands of authorized channel partners," said David Bradford, Novell
Senior Vice President and General Counsel. "To protect our resellers and
end-user customers, we intend to stamp out the abuse of Novell's NetWare#
Upgrade Program. Today's action is an important part of that ongoing
effort."

Novell works aggressively with customers, partners, and other vendors to
enforce copyrights across its entire family of system software, network
application, and information access products. Novell has established an
anti-piracy group and telephone hotline for reporting illegal use of
Novell software or making related inquiries. Call 1-800 PIRATES
(801-747-2837) or send E-Mail to pirates@novell.com.

 
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