WordStar International Inc, Novato, California has settled its lawsuit against Challenger Software Corp launched in March 1989: the suit was over Challenger’s alleged failure to deliver in a timely fashion a software program that it had sold to WordStar but was still developing; Challenger responded with a cross-complaint alleging breach of contract and certain tort claims; under the settlement, WordStar will transfer title to the program to Challenger, which can try to find a third party buyer for the product, and WordStar will share in any product revenues to the extent of $1.3m after an initial $500,000 is paid by a third party to Challenger with proceeds split evenly between WordStar and Challenger until WordStar has received $1.1m; but if Challenger is able to find a buyer for the product before April 30, 1991, WordStar has agreed to accept $350,000 as full payment, in lieu of its share in product revenues.
