California, June 14: PeopleSoft Inc. filed suit on Friday in a California court to block Oracle Corp.'s $5.1 billion hostile takeover bid, the latest salvo in an increasingly heated battle between the rival business software companies. "Oracle has deliberately embarked on its unlawful campaign to injure PeopleSoft, and to cripple its ability to compete," PeopleSoft said in its lawsuit, filed in Alameda County Superior Court.
Oracle said that the merger question would be decided by PeopleSoft shareholders and not by "frivolous litigation."
"PeopleSoft seems to have revived its on-again, off-again litigation strategy," Oracle spokesman Jim Finn said, referring an earlier threatened lawsuit from PeopleSoft.
The legal maneuver comes on the heels of two complaints filed on Thursday by PeopleSoft's intended merger partner J.D. Edwards & Co., which is seeking an injunction against Oracle and $1.7 billion in damages.
Bureau Report