Colossal Awarded $6.4 Million in HP Suit

A Santa Clara County Superior Court jury ordered Hewlett-Packard Co. to pay close to $6.4 million to Colossal Graphics Inc., which sued the computer giant over breach of good faith in a 1996 cross-licensing agreement. The companies had entered an agreement that allowed Colossal to sell bulk ink systems using HP ink. Shortly thereafter, Palo Alto-based HP introduced its own color ink jets, which Colossal maintained competed with the ones it was selling. An HP spokesman, however, said the company disputes the verdict and maintains it dealt fairly with Colossal. HP said it’s considering an appeal of the verdict, which was announced after the markets closed.