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Nike countersues in pirated software lawsuit

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Nike on Thursday filed a counter-lawsuit in a case about alleged software piracy.

Aliso Viejo, Calif.-based Quest Software sued Nike in April. The company alleges the sportswear giant has used "pirated keys" to access its products in violation of a licensing deal.

Quest makes database management software.

In a response filed Thursday, Nike broadly denied the allegations. The Washington County-based company said Quest conducted a "predatory audit" through which it determined Nike owed $15.6 million for unlicensed software use, including interest and a multiplier for using "pirated" products.

In its counter-lawsuit, Nike said it only owes $349,000 and Quest refused to accept payment and settle the matter.

Quest audited Nike's use of its products in January. Nike claims Quest inappropriately included any computers with access to Quest software. Nike claims only "actual users" should have been included.

Nike also claims Quest is denying maintenance services until the dispute is resolved.

"Without such maintenance and support services, the Quest Software installed at Nike would degrade in performance, would become incompatible with the underlying Oracle database software, and would become vulnerable to hacking, malware, and other outside threats," Nike said, in its counter-lawsuit.

Nike wants a judge to rule it only owes for "actual" unauthorized users and it doesn't owe for any free versions of the software it used.

It also wants a judge to enforce a provision of the licensing deal that says Quest must provide four years notice before terminating maintenance services.

Quest did not immediately return a message seeking comment.

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