Amiga Inc v. Hyperion VOF

Filing 26

DECLARATION of Evert Carton filed by Defendant Hyperion VOF re 3 MOTION for Preliminary Injunction (Attachments: # 1 Exhibit 1# 2 Exhibit 2# 3 Exhibit 3# 4 Exhibit 4 to 9# 5 Exhibit 10 & 11# 6 Exhibit 12 to 15# 7 Exhibit 16 & 17# 8 Exhibit 18 & 19)(Kinsel, William)

Case 2:07-cv-00631-RSM
Amiga Inc v. Hyperion VOF

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DISTRICT L I N I T E DSTATES COURT WESTERN DISTRICT WASHINGTON SEATTLE OF AT
A M I G A , INC., a Delawarecorporation,

No.07-0631-RSM D E C L A R A T I O NOF EVERT CARTON I N OPPOSITION AMIGA TO D E L A W A R E ' SMOTION FOR P R E L I M I N A R Y INJUNCTION

H Y P E R I O N VOF, a Belgiancorporation, Defendant.

E v e r t Carton,underpenaltyof perjury, declares and states follows: as 1. I am ManagingPartnerof Hyperion VOF, a softwarecompanylocatedin

1 8 B e l g i u m .I currentlyresidein Belgium.I am Belgianand US citizen.l am over the ageof 18, t9 20 2l 22
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a n d I am competent testify. to

2. Belgium.
3

I arn 36 yearsof age,born 24. October.1970.in Durham.NC. I grew up in

I graduated a MechanicalEngineer.I have worked in variousIT positionsin as

(clinical trial setupand instrumentinterfaces) t h e pharmaceutical and retail sector ( p r o g r a m m i n gcustomIDMS database applicationsin PLll on Amdahl mainframecomputers). I have worked as an independent IT-consultantthrough Hyperion, in the steel(business L e w OrprcESoF A. W r r , r m r r a KrNseL, PLLC
M A R K E T PLACE TOWF-R 2 0 1 5 First Avenue. Suite ,140 S E A T T L E ,W A S H I N G T O N 9 8 I ] I | 2 0 6 ) 7 0 6 - 8I 4 8

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D E C L A R A T I O N OF EVERT CARTON - I

Dockets.Justia.com

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(business i n t e l l i g e n c eand telecom-industry ) intelligence Web-technologies). and Hyperionhas c u r r e n t l y secured position for me as an independent a contractorworking as a system/software a r c h i t e c tat the largestBelgian mobile telecommunications operator. 4. My skills rangefrom basicknowledge proficientlevel in several to

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programming (C, languages g++, Java.Python,Perl,SAS ...). I workedon differentoperating (HP-UX. Solaris/SunOS, Linux) to environments, rangingfrom (mainly)Unix systems m a i n f r a m esystems. 5. in I foundedHyperion VOF, betterknown as Hyperion Entertainment. February

1 9 9 9with Mr. Ben Hermans, lateroptedto whom I met duringmy collegeyears. Mr. Hemrans p u r s u ea legal career. I am to this dateManagingPartnerat Hyperion. The company for s p e c i a l i z ein 3D graphics s firmwaredevelopment embedded and 3D driver development, s y s t e m s . consultingand the conversionof high quality entertainment IT softwarefrom

1 3 W i n d o w sto nicheplatformsincludingAmiga, Linux (x86,PPC) MacOS. and I4 t5
6. Basedon my generaleducational in background, experience the industry, my

a n d rny specificknowledgeof eventsrelatedto Amiga, I have personalknowledgeof the

1 6 m a t t e r sstatedherein. t7 18 19 20
C o m m o d o r e64). 7. The "Amiga" line of computers was launched the 23rd of July 1985 and on

(CBM or Commodore s u b s e q u e n t lacquired y and marketed Commodore by Business Machines w h o had previouslydevelopedand marketedone of the most usefulcomputersof all time, the

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Prior to this computers wereaimedat a relativelylimited audience they might

machineswith simple text displays,or they might be gamesmachines with b e seriousbusiness

2 4 c r u d egraphics,a few colors.basicsoundand limited ability to do much beyondplaying games. 2 5 T h e Amiga was an entirelydifferentmachinewith a far wider rangeof capabilities.Combining
machinewith market-leading video and audio capability,the Amiga 26 t h e power of a business
DECLARATION OF EVERT CARTON - 2

L e w OrnrcESoF KrNssr-,PLLC WrllnuA.
MARKET PLACE TOWER 2 0 2 5 First Alenue- Suite440 S E A T T L E . WAST.IINGTON98 I 2 I ( 2 0 6 )7 0 6 - 8 1 , 1 8

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w a s a hugely capableand flexible machineand introducedthe world to the conceptof "multimedia". 9. The hardwareof the Amiga was basedon proprietarychipsetscoveredby

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n u m e r o u spatentswhich handledgraphicsand sound. Generalpulposecomputingpower was d e l i v e r e d a Motorola68000series by (6SK)processor (CpU). 10. The Amiga operatingsystemor AmigaOS was designedfrom its inceptionas a

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t r u e multi-tasking,multi-mediaoperatingsystem.This combinationof tightly coupled p r o p r i e t a r yhardwareand software(AmigaOS)produceda very fast.powerful and easyto use c o m p u t i n gplatform. 1l. In 1994CommodoreBusinessMachinesfiled for bankruptcy. The then current

A m i g a modelswerethe low-endAmigal200 and the high-end Amiga 4000T. Both machines

1 3 w e r e still equippedwith proprietarychipsetsdevelopedin-houseby Commodoreand powered 1 4 b y Motorola68000series CPU's runningat up to only 25 MHz (comparable Intel's 486 to t5 t6 17 l8 l9 20 21 22
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c P U ' s ) . Thesemachines werebundledwith Amiga os 3.0 or Amiga os 3.l. 12. Following the 1994bankruptcythe companyand its assets changedfrom hand

t o handwith subsequent acquisitions the subsidiary of "Amiga Technologies" the German by c o m p a n yEscomAG (1995-1996) in 1997by the U.S. computer and manufacturer Gateway ( 2 0 0 0 ) (NYSE:GTW). Neither Escomnor Gatewaymarketedany new Amiga hardwarealbeit E s c o msucceeded restarting in production the existingmodelsusingleft-overparts of m a n u f a c t u r e for Commodore.During the Gatewayeraonly existingstockof unmodified d A m i g a 1200'sand Amiga 4000 produced Escomwere sold. by 13. In I 998 Amiga Inc. (at that time a fully ownedsubsidiary Gateway) of entered

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with the GermancompanyHaage& PartnerGmbH (www.haage2 5 i n t o an agreement

26
DECLARATION OF EVERT CARTON - 3

L e w OnErcES oF W r l l r e l r A. KrNsel, pLLc
M A R K E T PLACE TOWER 2 0 2 5 FrrstAvenue. Suite 440 S E A T T L E . WASHINGTON 98 I 2 I c06)706-81,18

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p a r t n e r ' c o m )for the development of Amiga oS 3.5, the first updateof the Amigaos sincethe d e m i s eof Commodore 1994. in 14. Under the agreement betweenAmiga Inc. and Haage& partner,Amiga was

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r e q u i r e dto pay an undisclosed sizeable but upfront amountto Haage& partner. In return, H a a g e& Partneractedas leaclcontractor for the development Amiga oS 3.5 of and contracted w i t h dozensof independent subcontractors order to producethe in Amiga os 3.5 update. An e x a m p l eof one of thosecontractswith the independent subcontractors attached is heretoas

E x h i b i t1.
15' Under the agreement with Amiga Inc., Haage& partnerwas entitledto market

a n d distributethe resultingAmiga os

3.5 softwareitself, with Haage& partner collectingall

revenues and with Amiga receivingonly a per unit royalty. pursuantto the agreements

c o n c l u d e dbetweenHaage& Partner and its subcontractors. subcontractors said similarly 1 4 r e c e i v e da per unit royalty from Haage& Partnerusually with a minimum royalty guarantee. l 5 A m i g a os 3'5 was released octoberof 1998. There in was no directcontractual link between l 6 the subcontractors Amisa. and

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In December 1999Gatewaysold its of Amiga subsidiaries a groupof venture to

c a p i t a l i s t s N'Y' based i'e' InvisibleHand andNetventures (based Holland)for 4.5 million in 19 u s D ' Followingthe acquisition, the new management the company(with of william McEwen 20 a s cEo and Barry Jon Moss as cro) immediatelyrefocused company,s the 21 strategy and r e s o u r c e s the softwaretechnology on frorn the u.K. basedcompanyTAo (www.tao_ 22
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s r o u p ' c o mwhichwasentirelyunrelated incompatible ) and with Amigaos andwhichto this d a t estill serves a delivery as platform for Amiga'scontent mobile for devices (largely games):

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2 5 t h eAmigaDEandAmigaAnywhere products. 26
D E C L A R A T I O NOF EVERT CARTON4

L e w OrnrcESoF W r r l m v A . Krrusnl, pLLc
M A R K E TPLACETOWER 2 0 2 5Frrst Avenue, :1.10 Suite S E A T T L EWASHINGTON I 2 I , 98 (206) 06_8148 7

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In late 1999 andalreadyunderthe new management, Amiga enteredinto

a n o t h e ragreement with Haage& Partnerin order to developAmiga OS 3.9, another updateof t h e old Amigaos' The termsof the 1999agreement between Amiga are similarto thoseof the 1 9 9 8agreement' with Amiga oS 3.5.Amiga oS 3.9's new As functionality largelyconsisted o f materialslicensedfrom third party developers.once again.IJaage partner & was entitledto m a r k e tand distribute Amiga oS 3.9 itself and collectall revenues from sales with a per unit r o y a l t y paymentto Amiga and Haage& Partner'sthird party suppliers who had no direct contractual link with Amiga. l8' In orderto "appease loyal Amiga enthusiasts" the (Moss.Declaration support in

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o f the plaintiff, pat.7) in 2000Amiga decided contract to development Amiga oS 4.0 out to of a n outsideparty. Amiga OS 4.0 would heraldthe switch away from the outdated6gK seriesof M o t o r o l acPU's which were limited to 50-66MHz to the much more modernpowerpc cpu,s developed and marketedby IBM and Motorola/Freescale which until and very recentlywere a l s ousedby Apple in its line of computers. PowerPCCpU's The areRISC CpU,s (reduced instruction set)which are entirelyincompatible with the Motorola68K series CISC CpU,s of ( c o m p l e xinstruction set). l9' Amiga OS 4'0 was initially intendedto run on third-partyadd-on hardwarefor

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t h e Amiga 1200and Amiga 3000/4000 equipped with PowerpCCpU's which was produced d u r i n g the Gatewayera by the Germanhardwaremanufbcturer phase5 (now defunct). M o r e o v e r , British companyEyetech the GroupLtd. had,in the second half of 2001,contracted

w i t h the GermancompanyEscenaGmbH to developand produce new powerpC equippedadd-

for 2 4 o n hardware the Amiga n0a/4000, subsequently referred as "the Amigaone A1200 and to

2 5 t h e AmigaOne44000" respectively. AmigaOS4.0 was alsointended run on this powerpC to 2 6 h a r d w a r ewhich in effect could not be marketedwithout Amiga OS 4.0 as earlierversions
DECLARATION OF EVERT CARTON - 5

of

L e w OrrlcES oF W r l l n r u A . KrNsnr,,rLLC
M A R K E T PLACE TOWER 2 0 2 5 First Avenue, Suite .140 S E A T T L E ,W A S H I N G T O N 9 8 I 2 I ( 2 0 6 )7 0 6 _ 8 4 8 1

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t h e Amiga OS includingAmiga OS 3.1, 3.5 and 3.9 were compiledfor the incompatible 68K M o t o r o l a seriesof processors could not run unmodified on the AmigaOne hardware. and 20. SinceAmiga was not willing and ableto investin development Amiga OS of

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4 . 0 in the form of an upfrontpayment(in contrast with AmigaOS3.5 and 3.9),no agreement w a s found betweenHaage& Partnerand Amiga for the development Amiga OS 4.0. of 21. Subsequently, September Octoberof 2001,the managing in and directorof

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E y e t e c hGroup Ltd., Mr. Alan Redhouse, brokereda tripartite deal betweenAmiga, Hyperion a n d Eyetech. Under that contract.Hyperion would act as the lead contractorfor the d e v e l o p m e nof AmigaOS4.0, Haage& Partner t would work as a subcontractor, Eyetech would p r o d u c ethe requiredAmigaOne hardware, and Amiga would not be requiredto cover any

cost but would be entitledto a per unit royalty payablefrom Eyetechfor each 1 2 development

1 3 A m i g a O n esoldby Eyetech.A true and accurate copy of that contract. signedin November 1 4 2 0 0 1 ,is attached heretoas Exhibit 2. Please notethat unlike the copy of the contract provided l5
b y Amiga Delaware, Exhibit 2 is a complete copy of that November2001agreement, it as

1 6 i n c l u d e sthe Annex that lists of all the subcontractors. the Court will see.both Hans-Joers As t7
F r i e d e nand ThomasFriedenappearon that Annex IL 22.

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Under the November2001 contract.and in return for absorbinsall the

development costsfor Amiga OS 4.0, Hyperion is entitledto retainall royaltiesstemmingfrom t h e saleof Amiga OS 4.0. Amiga indicated that it might at a laterdatebe interested resume to d e v e l o p m e nof AmigaOSthroughthe release subsequent t of versions AmigaOS4 and of t h e r e f o r eincludeda clausewhich allowed it to "buy in" all intellectualpropertydeveloped

of (to 2 4 w i t h i n the fran'rework the agreement the extentit was owned by Hyperion) and subjectto

2 5 t h e paymentof a symbolic thresholdamount. In article 2.01 of the AgreementAmiga granted 26
D E C L A R A T I O N OF EVERT CARTON - 6

L e w OnplcESoF W r l L t a l a A . KrNser, PLLc
M A R K E T PLACE TOWER 2 0 2 5 F i r s tA v e n u e ,S u i t e , 1 4 0 S E A T T L E ,W A S H I N G T O N 9 8 I 2 I ( 2 0 6 )7 0 6 - 8 1 4 8

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t h e AmigaOnepartners (definedin art. 1.01as "Eyetechand Hyperioncollectively")the f o l l o w i n g licenses: 1 . "a right and license useand modify the Software" to 2 . " a n exclusive risht and license marketand distribute 4 to OS - as a standalone versionfor the TargetHardware - and as an OEM versionshippedwith the AmigaOne" 3 . "a right and license usethe Amiga trademarks coniunction to in with t h e AmigaOne". A r t i c l e 1.01definesthe TargetHardwareas"the PPC basedhardware developed and marketetl and marketedby f o r the Amiga platform including but not lirnited to the hardware developed P h a s e5, DCE snd the Amigaone hardwaredeveloped Escenaunder contract v,ith rhe b"v A m i g a o n e Partners." Article 2.01 thereforegrantsHyperion a licensefor an)' hardwarebased o n PowerPC CPU's and developed marketed the Amiga platform. and for 23. Contraryto what Amiga claims, Hyperion hasnot distributedAmigaOS 4 for

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a n y hardwarer,r'hich doesnot conform to this definition settingforth the approvedscopeof H y p e r i o n ' slicense.Moreover.Hyperionhasto dateonly marketed Amiga OS 4 for the A m i g a O n ehardware. Furthermore, "strategicpartnership"Hyperion announced the on25 M a r c h .2007with the Italiancompany ACube Systems hasnot beenperformed Srl upon yet

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a n d relatesonly to hardwareexplicitly mentionedin the definition of the TargetHardwarein a r t i c l e 1.01. i.e. Phase and DCE hardware 5 and the AmigaOnehardware.Underthe agreement w i t h Hyperion,ACube Systems will act as manufacturer and worldwide distributorof the A m i g a OS 4 softwarepackages. 24. In article2.02 of theNovember2001agreement, Hyperionundertook "use to

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2 5 b e s teffortsto ensurethat Amiga OS 4.0 is readyfor releasebeforeMarch I, 2002". 26
D E C L A R A T I O N OF EVERT CARTON - 7

L e w OrrrcES oF W r r r r e l r A. KrNser-,PLLC
M A R K E T PLACE TOWER 2 0 2 5F i r s tA v e n u e .S u i l e . 1 4 0 S E A T T L E .W A S H I N G T O N 9 8 I 2 I ( 2 0 6 )7 0 6 - 8 1 . 1 8

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Amiga OS 4.0 ( E x h i b i t 2.) Hyperioncan demonstrate it hasusedbesteffortsto complete that i n a timely mannertaking into accountall relevantfactualcircumstances. 25. with article 3.02,Amiga was to "provide Hyperion with all In accordance

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to necessary SourceCode and documentation allow Hyperion to carry out its contraclual o b l i g a t i o n sunder this Agreement". This provision hasto be read in light of article 2.01 which g r a n t sHyperion "a right and licen,ce useand modifi., Software". In article 7.07"the to the S o f h u a r e "is defined as"the SourceCode of Amiga OS 3.I and the upgradesof Amiga OS 3.I

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'Boing Bags"'. In article4.06 i n c l u d i n gbut not limitedto OS 3.5 and 3.9 and associated ( ' P o v , e r to grant rights') "Amiga represents and warrants that: ( a ) it has the right, power and authority to grant the rights ttnd licenses g r a n t e d in this Agreement and.fullyperform its obligotionshereunder; ( b ) the makingand performunceof thi.sAgreementby Hyperion doe.;not right or obligution exi^sling a n d shall not violate an)' seporqleagreement, Amiga and any third party: and befween ( c ) there are no oul.slanding interestsor olher liens, sec'uriD, in of e n c u m b r a n c e s any kindv'har.Eoever or lo the Softv,areor lo any of' t h e intellectualproperty rights therein." C o n t r a r yto what Amiga claims,in orderfbr Hyperionto developOS 4.0, Amiga $'asto p r o v i d eHyperionnot only with the source-code Amiga OS 3.1 but alsoof Anriga OS 3.5 of a n d Amiga OS 3.9.

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26. *OS 1.0" is definedin article l.0l of the agreement as"the versionof Further,

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t h e ClassicAmigaOStdeveloped Hyperionpursuant to this Agreementwith the.functionality by d e s c r i b e din Annex I hereof'. Annex I explicitly states underthe headingof "Design Goals o.f

o s 4":

24 2 5 ' The term "ClassicAmiga OS" was usedto differentiatethe Amiga OS from the products 26 i . e . "AmigaDE" and "AmigaAnywhere".
D E C L A R A T I O N OF EVERT CARTON - 8

Tao Group Ltd. d e v e l o p e d Amiga on the basisof the totally unrelatedsoftwaredeveloped by L e w OnnrcESoF Wrr-r-rell A. KrNssr,, PLLC
M A R K E T PLACE TOWER 2 0 2 5 Firsl Avenue. Snite 440 S E A T T L E .W A S H I N G T O N 9 8 I 2 I ( 2 0 6 )7 0 6 - 8 1 1 8

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designgoalsof OS 4.0: the " T h e following summarizes desired PPC E s s e n t i a l l yOS 3.9 runningon the AmigaOneand Cyberstorm , (...). w i t h o u t usingthe 68K CPU, usinga 68K Emulator (...)". as as A s much PPC-native necessary soonas possible'

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it I n order for Hyperion to carry out the contractuallyagreedupon softwaredevelopment in to full access the Amiga OS 3.5 and 3.9 source-code, orderto makethe necessary required

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to and a d d i t i o n sand enhancements, to recompilethe source-code the PowerPCCPU native f o r m a t . which is incompatiblewith the native format of the 68K CPU. 27. from to In the courseof November2001 Hyperion attempted obtain access

that It 1 0 A m i g a of the AmigaOS3.5 and 3.9 source-code. was revealed Arnigadid not in fact

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Moreover,it was revealedthat therewas a disputebetween to h a v e access this source-code. f l a a g e & Partnerand Amiga aboutthe intellectualpropertyrights of Amiga OS 3.5, 3.9 and the packs). "Boing Bags" (i.e. service s u b s e q u e n t lreleased y 28. with whom Haage& Partnerhad We learnedfrom third party developers

had of s u b c o n t r a c t efor the development Amiga OS 3.5 and 3.9 that saiddevelopers only d draftedby the contracts g r a n t e dvery limited rights to Haage& Partneron the basisof standard of of l e g a l department Gatewayfor the development Amiga OS 3.5 which were subsequently of copy of an example one of for r e c y c l e d the development Amiga OS 3.9. A true and accurate ("Grants heretoas Exhibit 3. Under article 4 of theseagreements o f thosecontractsis attached perpetual o f License")eachdeveloper(refenedto as"supplier")"grants to H&P an exclusive,

2 2 r i g h t within the Territory to:
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licenseand or 4 . 1 . 1 .Copy andreproduce havecopiedor reproduced, d i s t r i b u t ethe Product. 4.2 No other use of Supplier Sqfnt,are,H&P Sofru'are,Amiga Software, T h i r d - P a r r y ' S o f t : w a ror the Derivative Worksis granted hereby"' e

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D E C L A R A T I O N OF EVERT CARTON - 9

OF L A w OFFICES A. KINssL, PLLC Wrlneu
MARKET PLACE TOWER 2 0 2 5 First Avenue. Suile 4'10 S E A T T L E .W A S H I N G T O N 9 8 I 2 I ( 2 0 6 )7 0 6 - 8I 4 8

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29.

underthe headingof "ownership" Haage& In article 9.1 of theseagreements

p a r t n e r"acknowledges and agreesthat all right, title and interestin and to the Supplier S o f f v , a r e ,in whole or in part, in anyfornt (...) sh1tl belongto Supplierand that Haage & p a r t n e r ' s sole rights theretoshall be only thoserights grantedby Supplierpursuant to this Amiga only had a limited and by extension A g r e e m e n t(...)". In otherwordsHaage& Partner . licenseto useand modify. In accordance and no source-code r i g h t and licenseto reproduce eachparty moreoverhad the right to terminatethe license w i t h article I I of said agreements,

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a f t e r2 years. 30. of of As lead-contractor Amiga for the development Amiga OS 3.5 and 3.9,

with Amiga, grantingAmiga only a H a a g e& partnerhad concludedsimilar masteragreements was unwilling to provideAmiga license.As a result,Haage& Partner l i m i t e d reproduction

the of Hyperion)with the source-code Amiga OS 3.5 and 3.9 despite fact that 1 3 ( a n dby extension and to 1 4 A m i g a had represented Hyperionthat it had full access rightsto the Amiga OS 3.5 and

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3 . 9 source-code. 31. In order for Hyperion to carry out its contractuallyagreedupon development

with a significant w o r k , it had to negotiateand enterinto dozensof individual agreements (developers) orderto gainaccess in n u m b e rof individualAmiga OS 3.5 ad 3.9 subcontractors Despiteusing best efforts,Hyperion was not able to concludeagreements t o their source-code. Most notably,as a resultof the ongoingdisputebetween w i t h all OS 3.5 and 3.9 developers. relatinginter alia to the Amiga OS 3.5 and 3.9 intellectual A m i g a and Haage& Partner betweenHyperion and Haage& Partnerwas reached' This led to p r o p e r t y .no agreement

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additionalcostsand loss of time relatedto the substantial and 2 4 t o t a l l y unforeseen very which Hyperionwas not ableto secure' of 2 5 d u p l i c a t i o n the OS 3.5 and 3.9 functionality

26
L A W OFFICES OF DECLARATION OF EVERT CARTON - IO

Wnrrur

A. KlNseL, PLLc

M A R K E T PLACE TOWER 2 0 2 5 First Avenue. Suite'140 S E A T T L E . WASHINGTON 98I 2 I ( 2 0 6 )7 0 6 - 8 1 4 8

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32.

As a directconsequence the disputewith Amiga, Haage& Partner of moreover

o p t e d not to play any part in the development Amiga OS 4.0. This led to further delaysas of (explicitlylistedas a subcontractor Annex II of the 2001 Agreement) H a a g e& Partner in was o r i g i n a l l y going to carry out key development work as described Annex I. Hyperion had to in r e t a s ksomeof its key subcontractors take over the work originally plannedfor Haage& to Partner. 33. When Hyperionasked Amiga to provideit with the Amiga OS 3.1 source-code,

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A m i g a directed this question Mr. Olaf Barthel,a key Amiga OS 3.5 and 3.9 developer to who h a d alsocarriedout work for Escom'ssubsidiary Amiga Technologies GmbH. At the request o f Amiga's currentCTO, Mr. Bany Jon Moss, Mr. Barthel had spentvery substantial time r e w o r k i n gthe Amiga OS 3.1 source-code reducethe dependency the 68K series to of on

assembly files to C source-code) generally improving and 1 3 M o t o r o l aCPU's (i.e.converting

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quality and uniformity. SinceAmiga had repeatedly source-code promisedMr. Barthel c o m p e n s a t i o n this work, Mr. Barthel was not willing to hand over the reworkedsource-code for a n d Hyperion had to enter into an agreement with Mr. Barthel to secureaccess the Amiga to O S 3.1 source-code datingbackto 1994.The alternative would havebeenanother duplication o f efforts vt'ithmore ensuingcostsand delaysAttachedheretoas Exhibit 4 is a true and accurate copy of the contractbetweenHyperion and Mr. Olaf Barthel mistakenlydatedOctober

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i n s t e a d December 2001.Attached of of heretoas Exhibit 19 is a true and accurate copy of the e - m a i lof 25 Novemberof 2001by Mr. Bany Moss,CTO of Amiga, acknowledging that c o m p e n s a t i o n the aforementioned for work was promisedto Mr. Barthel by Amiga. The alternative would have beenanotherduplicationof efforts with more ensuingcostsand delays. 34. In March of 2002 Eyetechinformed Hyperion it had terminatedthe agreement

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of 2 6 w i t h EscenaGmbH for the development the AmigaOne 120014000 Escenafailed to as
D E C L A R A T I O N OF EVERT CARTON - I I

L a w OrnrcESoF W r l l r a u A. KrNseI-,PLLC
M A R K E T PLACE TOWER 2 0 2 5 First Avenue. Suite 440 S E A T T L E ,W A S H I N G T O N 9 8 I 2 I ( 2 0 6 )7 0 6 - 8 1 1 8

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d e l i v e r . Eyetech subsequently find an altemative did solutionin the form of the PPC based motherboards developedby (the now defunct)Fremont,CA basedMai Logic Inc. In a pressr e l e a s e 9 July of 2002 Mai Logic and Eyetechofficially announced agreement.A true of the a n d accurate is copy of that announcement attached heretoas Exhibit 5. This announcement w a s subsequently officially endorsed Amiga on their websiteas the new AmigaOne. A true by a n d accurate copy of that announcement attached is heretoas Exhibit 6.

4 5 6
-

35.

u,hichwas intended operate an add-onto Contraryto the designof Escena. to as

8 9 10 ll
t h e originalAmiga 1200or Amiga 4000 motherboards with full access the Amiga's custom to p r o p r i e t a r ychipsetsas developed Commodore,the Mai Logic designwas a standalone by motherboard with a PowerPCCPU and off the shelf components which were usedin various

PCs Amiga chipsets. 1 2 m a i n s t r e a m but without the proprietary

13 t4

36.

As Amiga states its own website:"The "Amiga Operating on System"originally

t a r g e t e dthe desktopcomputingmarket. It was built aroundtightly integrated hardwareand

1 5 s o f i w a r e . " SeeExhibit 7. which is a true and accurate portionof Amiga's copy of the relevant 1 6 website. t7 18 19
H y p e r i o n had to tackle the very substantial task of "decoupling" the Amiga operatingsystem 3 7. As a resultof the cancellation the Escena developed AmigaOneI 200/4000 in of

f a v o r of the stand-alone Logic AmigaOnewithout the Amiga proprietary Mai customchipsets,

20
f r o m the Amiga customchipsets.As a result of the tight integrationbetweenthe Amiga

2l 22
^a

h a r d w a r eand software,this requiredvery extensivechanges throughoutthe AmigaOS sourcec o d ein additionto a whole new setof devicedrivers(e.g.IDE, USB) for the off the shelf

ZJ

presenton the Mai Logic AmigaOne,work which was originally plannedby 2 4 components Amiga OS 4.2. 2 5 A m i g a for a hypothetical

26
DECLARATION OF EVERT CARTON - 12

L e w On'nrcES oF W r r r r a v A. KrNser-,PLLC
M A R K E T PLACE TOWER 2 0 2 5 First Avenue. Suite 440 S E A T T L E .W A S H I N G T O N 9 8 I 2 I { 2 0 6 )7 0 6 - 8 1 . 1 8

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I 2 3 4 5 6

38'

In spiteof this Hyperionreleased first versionof Amiga OS 4.0 to the the

A m i g a O n e ownersin May of 2004. A true and accurate copy of a notice of that release is attached heretoas Exhibit 8. The first versionof Amiga OS 4.0 includedall functionalitv w h i c h was listedin Annex I of the 2001Agreement "essential."On October10. as 2004 a first u p d a t eof Amiga OS 4.0 was released the AmigaOneownerswhich includedfunctionality to l i s t e d in Annex I as "important'"or "optional" or even scheduled a hypothetical for Amiga OS

8 9 l0

4 ' 2 . A true and accurate copy of the noticeof that release attached is heretoas Exhibit 9. The h i g h l y acclaimedindependent tech website"Ars Technica"reviewedthe first updateof Amiga O S 4'0 on 17 .Ianuary 2005 and concluded:"l hat,eusetlPDA.g that ha,ye similar CpLl and RAM

1 1 c a p a c i t i e sas my AmigaOneand they do not provide the samespeedandJunctionalitythat is t2
already at'ailable in OS4. OS4feet,s like afutt desktop,yet hos the resource requirementso/ a

1 3 h a n d h e l d . " A true and accurate copy of that review is attached heretoas Exhibit 10. Most if l4
n o t all of the featureslisted in Annex I are mentionedthroughout this review, somemore

1 5 e x p l i c i t l y than others.On December 2004, 27 another update Amiga OS 4.0 was released of l6 17 18
w h i c h contained features all described Annex I as "essential" "important"and which in or i n c l u d e dmany optionalfeatures, somenot evenlistedin Annex I of the 2001Aereement.A t r u e and accurate copy of that release attached is heretoas Exhibit I 1. 39. It shouldalsobe notedthat at no point prior to November2006did Amiga Inc

r9
20 2l

W a s h i n g t o n its purported or legalsuccessor KMOS. subsequently renamed Amiga to

22
z.)
aa

( D e l a w a r e ) (KMOS did publicly announce they had renamedthemselves "Amiga Inc,'. We to h a d unfortunatelyno way to know what the exact natureof the transformation was.),and

2 4 c u r r e n tplaintifl ever raisethe issuethat Hyperion had not usedbestefforts to completeAmiga
specifications. 2 5 O S 4.0 to the contractual Quitethe contrary.on26 May 2004KMOS/Amiga

2 6 e n t e r e dinto a separate agreement with Hyperion to producea demonstration versionof Amisa
DECLARATION OF EVERT CARTON - I3

L e w OprrcESoF W r r - u e u A . KrNsel, pLLc
MARKET PLACE TOWER 2 0 2 5 Firsr Avenue. Suite 440 S E A T T L E , WASHINGTON 98I 2I ( 2 0 6 )7 0 6 - 8 1 4 8

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O S 4.0 for the PDA reference designfrom IBM, the Arctic ("Agreementfor the provision of s o f t w a r edevelopment services.") A true and accurate copy of that agreement attached is hereto a s Exhibit 12.Pleasenote that the unsignedcontract submitted by Amiga Delaware as E x h i b i t G relating to the sameArctic developmentwork is materially different and is u n k n o w n to us. Withoutthe decoupling the Amiga OS from the proprietary of Amiga custom c h i p s e t s - w h i c h was neverpart of the original contractualspecifications Amiga OS 4.0for t h i s would not havebeenpossible a reasonable in timeframe.

4 5 6

8 9 10 1l l2
IJ

40.

Amiga Delawaremaintainsthat Hyperion is in breachof contractby refusingto

t u r n over all source-code intellectual propertytitle for Amiga OS 4.0. Amiga Delaware and bases this claim on article3.01of the 2001Agreement which provides following: the A m i g a may, at any time but no later than six (6) monthsafter the c o m p l e t i o n OS 4.0, electto pay HyperionTwentyFive Thousand of U S D (25,000USD) in orderto acquirethe ObjectCode.Source Code a n d intellectualpropertyof OS 4.0 pursuantto and within the limits set o u t in article2.06 hereof.Saidpaymentwill be first be appliedagainst t h e balanceof any outstanding vis invoicesby the AmigaOne Partners d v i s Amiga. In the eventAmiga doesnot electto carry out the payment,all ownershipand title in the enhancements aforementioned of a n d additionsto the Softwareeffectedby Hyperion and its s u b c o n t r a c t o rpursuantto this Agreement,shall rest with Hyperion. s T h e r eis no other contractual legal mechanism or which Amiga can invoke to lay claim to the A m i g a OS 4.0 source-code the absence a directcontractual in of link between Amiga and

14 l5 t6 t7 18 t9

H y p e r i o n ' s subcontractors, most of whom are locatedin the European Union.

20 2l 22
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at

41.

From the wordingof this article3.01threeimportant conclusions be drawn: can

24 25 26
D E C L A R A T I O N OF EVERT CARTON - 14

L A w OFFTcES oF W r r r r e l t A. KrNseL, PLLC
M A R K E T PLACE TOWER 2 0 2 5 First Avenue. Suile ,140 S E A T T L E . WASHINGTON 98 I 2 I ( 2 0 6 ) 706-8| 18

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( 1 ) Oncecompleted (i.e. onceall contractually agreed upontasks consrdered essential importantin Annex I were completed), or Amiga o n l y had 6 monthsremaining exercise "buy in" clause. the to ( 2 ) Any paymentswould first be appliedagainstany outstanding i n v o i c e sAmiga had with the Amiga One Partners. ( 3 ) In the eventAmiga did not electto exercise buy-in optionwithin the t h e contractually allottedtimeframe, ownership all and title in the e n h a n c e m e n tof and additionsto the Softwareeffectedby Hyperion and s pursuantto this Agreement,shall rest with Hyperion to i t s subcontractors t h e extentthat it was transfenedto Hyperion by the subcontractors the in place. first A m i g a Delaware's in claim that the buy-in optionwas exercised 2003 is without merit because proof of paymentof the full amountof 25.000USD and can A m i g a Delaware fails to produce

4 5 6 7 8 9

1 0 instead only demonstrate effectivepayment 22,250USD and not evenby Amiga itself. (See of 11 t2 l3
42. Whilst Hyperion'sinvoicementioned USD 22500.the actualamountreceived E x h i b i t J to the Declaration William McEwen In Supportof PlaintiffAmiga, Inc.'s Motion of f o r Preliminary Injunctionand Motion for Expedited Discovery.)

t4
w a s USD 22250USD as canbe ascertained from the plaintiff s Exhibit J. Hyperiondoesnot

15 16 t7
d e n yhavingreceived USD 2250 from TachyonCorporation April 8th. on 2003(with no message). USD 20000on May 6th2003 from Itec LLC ("RE: AMIGA accompanying and

paymentswere combinedin the invoice 1 8 O P E R A T I N G SYSTEM"). Acting in good faith, both

t9 20 2l 22
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t h a t mistakenlymentions22500USD and that was issuedto Itec LLC, the party the November 3 r d 2001Agreement was purportedly to, transferred and datedDecember 31,2003,fiscal y e a r e n d .Saidinvoice,a true and accurate copy of which is attached heretoas Exhibit 13,was pursuant article3.01 of the November3.01 agreement r e g i s t e r e das 'Payment to between A m i g a . Eyetech and Hyperion') . 43. The Exhibit J filed by Plaintiff doesconfirm the declaration William by

24 25 26

M c E w e n that two paymentswere issued,in April and May 2003. The paymentsMister I - e w Orn'rcES oF W r l l r e u A. KrNseL, PLLC
M A R K E T PLACE TOWEIi, 2 0 2 5 First Avenue. Suite -140 S E A T T L E .W A S H I N G T O N 9 8 I 2 I ( 2 0 6 )7 0 6 - 8 r , 1 8

DECLARATION OF EVERT CARTON - I5

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M c E w e n refersto do howevertotal only 22250 USD, insteadof the purportedUSD 25000. We h a v enevercontested disputedthe actuallypaid out amounts. Indeed,as statedabove,we nor h a v eofficially acknowledged said paymentswith the aforementioned invoice to ltec LLC. H y p e r i o n hasnot found any paymentby the companythat was at the time known as Amiga. 44. Moreover,in2003 Amiga still had one outstanding invoicewith Hyperionto the

4 5 6

a m o u n tof USD 5000dated3l May 2001and relatingto 3D work carriedout by Hyperionfor

7
t h e AmigaDE software. A true and accurate copy of that invoice is attached heretoas Exhibit

8 9 10 ll t2 13 t4 l5 l6
11 tt

1 4 . The existence the invoicewas subsequently of acknowledged Amiga's CTO Bany Jon by M o s s aka"Fleecy" by e-mail. A true and accurate copy of that e-mailis attached heretoas E x h i b i t 15. Any payments Amiga had to be appliedfirst to this account (with by receivable accrued interest) per art. 3.01of the Agreement. as 45. Itec LLC committed honouring to thesefinancialobligations Amiga by

W a s h i n g t o nin the TransferAgreement,by the clausein the agreement stating: " f l y p e r i o n confirms that for the receiptof 25000 US. Hyperion shall transferthe o w n e r s h i p the ObiectCode,Source of Codeand intellectual propertyof OS 4.0 to Itec i n accordance with the provisions the November1, 2001agreement of Amiga, between H y p e r i o n and Eyetechand to the extentit can do so underexisting agreements with t h i r d partydevelopers whosework shallbe integrated OS 4.0" in

1 8 T h i s statement impliesa commitment Article 3.01 in the November3'd,2001Agreement, to l9 20 21 22
n o t activatedin 2003 because insufficient funds were transferred Hyperion to satisfythe to
^a

e x p l i c i t l y mentioning "Saidpaymentshallfirst be appliedagainst balance any the of outstanding invoicesby the AmigaOnepartners d vis Amiga". vis 46. In conclusion canbe stated it with absolute certainty that the buy-in clausewas

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24 25 26

c o n t r a c t u aconditions.The subsequent l payments November2006 for outstanding in invoices o f Amiga were in fact madeoutside time-period the allottedfor the buy-in clause be to a c t i v a t e dseeingas Amiga OS 4.0 was completedand released the contractual to specifications
DECLARATION OF EVERT CARTON - I6

L e w OnrrcEs oF W r r r m u A. KrNseI-,PLLC
N I - A R K E TPLACE TOWER 2 0 2 5 First Avenue. Suite 4-10 S I ] A T T L E , WASHINGTON 98 I 2 I ( 2 0 6 ) 706-8I .18

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i n Decemberof 2004and following that date.Amiga only had 6 w h i c h it failedto do. 4 7'

monthsto make full payment

4 5 6 7 8 9 10 lt I2 l3

In october andNovemberof 2006 Hyperion alsoinsisted paymentof the on on behalf of Amiga Delawarefollowing Amiga to write a lesal

l e g a l feesHyperion had had to pay in 2005

D e l a w a r e ' sformer cEo Mr' Garry Hare retainingHyperion's Bergianlaw firm

o p i n i o n on the legal standingof variousAmigaos derivativesunderEU and Belgian i n t e l l e c t u a lproperty law. The initial agreement betweenHyperion and Amiga was that would pay the other

H y p e r i o n would foot half of the legal fees for this work and that Amiga

h a l f ' Unsurprisingly, Amiga neverpaid their half which amounted to a retainer 5.000euros of ( 6 7 6 7USD at the currentexchange rate)of a total retainer 10000euros. of 48' Hyperion agreedon 24 April 2003to assign the 2001 agreement ltec. LLc, to a

18 19 20 2t 22
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S t a t eof New York, u's'A', limited liability companywith its administrative at l'2prince seat 1 4 S t r e e t NY' NY 10012, ' u's'A' A true and accurate copy of that agreement attached is heretoas l 5 E x h i b i t l6' Itec LLC was a companycontrolled Mr. pentti by Kouri who was alsothe main 1 6 shareholder of Amiga washington' The idea behind the transaction was purportedlyto separate l7 t h e classicAmiga os products and activities (suchas Amiga os 4.0) from the new productl i n e AmigaDE and AmigaAnywhere based the entirelyincompatible unrelated on an6 t e c h n o l o g yfrom Tao Group. 49. The agreement betweerr Hyperion and Itec was onry one part of the

d o c u m e n t a t i o needed successfully n to assign Amiga washington,s rightsto Itec. section7 . 1 2 o f the 3 November 200l agreement readsin part as follows:

24 25 26
DECLARATION OF EVERT CARTON I7

L e w OrrrcES oF W n l m l r A . Krxser, pLLc
M A R K E T PLACE TOWER 2 0 2 5 F i r s tA v e n u e .S r r i t e 4 0 4 S E A T T L E .W A S H I N G T O N 9 8 I 2 ] ( 2 0 6 )7 0 6 - 8 4 8 I

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I 2

the or N e i t h e rpartyshallassign subcontract whole or any partof this party'sprior writtenconsent. A g r e e m e n without the other t was the ( E x h i b i t 2.) As the first pageof Exhibit 2 explains. November3. 2001contract

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meaning"Eyetechand Hyperion and the "Amiga One Partners." Amiga Washington between

4 5 6 7 8 9 l0 ll l2 l3 t4
in to c o l l e c t i v e l y . " (Exhibit 2. ArI.1.0l.) Thus,according the contract, orderto havean and rightsto Itec.borh AmigaWashington of e f f e c t i v eassignment Amiga Washington's hasnot doneso and.to my knowledge. Eyetech had to give their prior writtenconsent.Eyetech n e i t h e rhasAmiga Washington. 50. is Anotherimportantconditionof the 3 November2001contract fbund in

paragraph 2.07,Bankruptcy: the insolvent, Amiga or I n the eventAmiga filcs for bankruptcy becomes perpetual. world-wideand royalty an are O n e Partners granted exclusive. use. to f r e e right and license develop(at their soleexpense). rnodify and m a r k e tthe Softwareand OS 4 underthe "An-rigaOS" trademark' with ltec that Hyperionfound ( E x h i b i t 2.) It was only aftersigningthe24 April 2003contract

and that and insolvent was in a stateof virtual bankruptcy in realityAmiga Washington 1 5 o u t that

t6 t7

to out to was t h i s assignment part of a largerscheme extractassets of Amiga Washington Stateentity)which relocate them into KMOS Inc. (leavingonly debtsin the Washington

KMOS the 1 8 s u b s e q u e n t lrenamed itself as Amiga Delaware" currentplaintiff. In this process y

t9

(Hyperionand Eyetech) then,that the Amiga One Partners I n c . acquired Itec LLC. It appears.

2 0 a l r e a d yownedan exclusive, perpetual right to the Sofiwareand OS 4 underthe "Amiga OS" 21
zz
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to on24 April 2003.andthat Amiga had nothingto assign Itec. trademark 5l. it was If, on the otherhand.Ihe24 April 2003 agreement a valid transfer, still

of c o n t a i n s restatement art. 3.01of the 2001Aereement: a

24 25 26
DECLARATION OF EVERT CARTON - I8

L e . w On'rrcES oF W r l l r e l t A. KrNsnl, PLLC
MARKET PLACE TOWER 2 0 2 5 Firsl Avenue. Silile 440 S E A T T L E .W A S H N G T O N 9 8 I 2 I {206i706-8148

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4 5 6

H y p e r i o nconfirmsthat for the receiptof 25,000.00 USD, Hyperionshall t r a n s f e rthe ownershipof the Object Code, SourceCode andintellectual p r o p e r t yof OS 4.0 to Itec in accordance with the provisions the of N o v e m b e rl. 200.1 agreement between Amiga, Hyperionand Eyetech a n d to the extentit can do so.under existingigreementswith third party d e v e l o p e r whosework shallbe integratealnbS +.0. s A s pointedout above,the paymentof 25.000USD was subsequently nevercarriedout in full w h i c h is why many monthslaterHyperionon 3 I December 2003raisedan invoiceof 22.500 U S D to Itec in orderto justify the payments its accounts.(seeExhibit 13.) in

8 9

52'

The November2001Agreement therefore makesit abundantly clearthat

H y p e r i o n can only transferSource-Code the intellectualpropertycontained and thereinsubiect

1 0 t o the rights grantedto Hyperion by Hyperion's subcontractors. Hyperion is precludedby 1l t2
c o p y r i g h t law and by contractfrom transfeningmore rights that it has secured itself. F u r t h e r m o r e even if "ownership" had beentransferred Amiga, Hyperion , to would still have

1 3 r e t a i n e d license a to usethat intellectual propertyunder Art.2.el of the November2001 t4 15 t6 t7 18 l9 20
W a s h i n g t o nwas obligatedto pay none of the upfront developn-rent costs. By conrrasr, H y p e r i o nhasinvested approximately EURO 830000, which amounts to

a g r e e m e n(Exhibit 2.) Any otherarrangement t would havebeenunreasonable because Amiga

US $1.12g.000 of as

t h e 18 May 2007 official exchange rate. It simply is not reasonable Amiga Delawareto for c l a i m that it could extinguish of Hyperion'srightsand interest this all in intellectual property f o r a mereUS $25.000 payment. 53' Severaldevelopers have indeedelectedto restrictthe rights grantedto Hyperion

2l

someby grantingonly an objectcodelicense a license copy, 2 2 t o variousdegrees, i.e. to
z)

reproduce and distributein binary form. A true and accurate exampleof one of thosecontracts i s attached heretoas Exhibit 17. The Agreement 24 April 2003contains similar,explicit of a

24

2 5 a c k n o w l e d g e m e n t the rightsof third party of developers. (Exhibit 16.) 26
DECLARATION OF EVERT CARTON - I9

L a w OnrrcESoF W r r - l r a l r A. KrNser-,ILLC
M A R K E T PLACE TOWER 2 0 2 5 First Avenue. Suite 4,10 S E A T T L E ,W A S H I N C T O N 9 8I 2 I ( 2 0 6 )7 0 6 - 8 t 4 8

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54.

that article3.01 of the 3 Even if onewere to admit (which is not the case),

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Hyperioncan neverbe fully in a timely manner. was executed N o v e m b e r2001 contract r e q u i r e dto turn over more rights than it has itself, but that is exactlywhat Amiga is seekingto accomplish. 55. Moreover,if Amiga Delaware'spurportedterminationof the 3 November 2001

4 5 6 7 8 9 10 11 l2
IJ

and evenif one wereto admit that art. 3.01was fully effective, a g r e e m e nwas considered t foundationfor the in e x e c u t e d a timely manner,Amiga Delawarehas removedthe contractual t r a n s f e rof the intellectualpropertyrights which Hyperion obtainedcontractuallyfrom third p a r t i e s . Saidthird partieswould needto decideto keepthe contractsbetweenHyperion and It theseagreements. should their right to terminate of in t h e m s e l v e s place.instead exercising are betweenHyperion and its third party contractors that all contracts b e notedin this respect venue. s u b j e c t Belgianlaw and providefor Belgiancourtsas an exclusive to 56. Amiga Delawarealso claims that Hyperion committeda materialbreachof the

t4 i5 t6
1'7

property rightsto the intellectual the by 2 0 0 1Agreement failing to secure widestpossible within the frameworkof the 2001Agreement.Article 2.06of the 2001Agreement developed i n d e e dstates following: the

l8 19 20 2l 22
z)
^a

of ( . . . ) A t any time prior to the completion OS 4.0, and no laterthan six ( 6 ) monthsthereafter and providedAmiga makesthe paymentpursuant interest all t o article3.01hereof,Hyperionshalltransfer Source-Code. it can do so underthe a n d title in OS 4.0 to Amiga to the extent Hyperion shall use concludedwith third party contractors. agreements the b e s tefforts to secure widest possiblerights from third party that sornethird and c o n t r a c t o r sAmiga herebyacknowledges accepts . p a r t i e smay only grant an Object Code licenseor may otherwiserestrict t h e rights grantedto Hyperion. did ( E x h i b i t 2. emphasis added.)In view of the fact that Amiga Washington not investany and insteadand from the outsetdefaultedon its f u n d s in the Amiga OS 4.0 development i.e. p r i m a r ycontractual obligation. the provisionof the Amiga OS 3.1, 3.5 and 3.9 source-code

24 25 26

DECLARATION OF EVERT CARTON - 20

L e w OprIcESoF W r L l r a r r rA. Krxser, PLLC
M A R K F : TP L A C E T O W E R 2 0 2 5 First Avenue. Suite.l.l0 S E A T T L E . WASHINGTON 98 I 2 I ( 2 0 6 )7 0 6 - 8 4 8 I

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w h i c h caused substantial extracostsfor Hyperion,Hyperiondid indeedusebesteffortsto s e c u r e widestpossible the rights. In most cases whereinno source-code access could be o b t a i n e dthis was due to the fact that the financial requirements the subcontractor full of for t r a n s f e r ownership a source-code or license of could not bejustified by Hyperionwithin the l i m i t e d funding availablefor the project. 57. Amiga had no reasonable expectation for an amountof 25,000USD it could that

4 5 6
-

pursuant the 1998and 1999agreements o b t a i nmore rightsthan it had previously obtained to

8 9 10 lt t2
IJ

w i t h Haage& Partner the development Amiga OS 3.5 and Amiga OS 3.9. especially for of because Hyperion did communicate identity and the numberof the subcontractors Annex the in I I of the 2001 agreement which includedHaage& Partner. 58. ("Grantsof Undertheseagreements between Amiga and Haage& Partner

L i c e n s e " )Haage& Partnermerely grantsto Amiga an exclusive,perpetualright within the T e r r i t o r y to: c o p y and reproduce havecopiedor reproduced, license and distribute or t h e Product. N o other useof SupplierSoftware,H&P Software,Amiga Software, T h i r d - P a r t ySoftwareor the Derivative Works is grantedhereby."

l4 l5 l6 t7

1 8 ( E x h i b i t sI and 3) Moreoversaidexclusive "objectcodeonly" licenses reproduce copy to and t9 20 2l 22
ZJ

w e r e subjectto terminationby eitherparty after an initial temr of two year. 59. with third party SinceHyperion had to enterinto dozensof agreements

c o n t r i b u t o r s Amiga OS 3.5 and 3.9 to obtaintheir source-code. Hyperionactuallysecured to 'Joint with full source-code access thesesections Amiga OS 3.5 and Amiga ownership" of of

24 25 26

heretoas Exhibit O S 3.9. A true and accurate exampleof one of thoseagreements attached is 1 8 . In essence, Hyperionhasmore extensive rightson Amiga OS 3.5 and 3.9 thanAmiga

DECLARATION OF EVERT CARTON - 21

L e w OrE'rcES oF W r r . l r a l r A. KrNsnr, PLLC
M A R K E T PI-ACE TOWER 2 0 2 5 F i r s l A v e n u e .S u i t e , l 4 0 S E A T T L E ,W A S H I N G T O N 9 8 I 2 I ( 2 0 6 )7 0 6 - 8l . l 8

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w a s h i n g t o n owned when it signedthe 3 November 2001 contract. Amiga Delawaretherefore h a sno claim to thoserights underthat agreement. 60' Hyperionmoreover hasfull access the reworkedAmiga OS 3.1 source-code to to secureas

4 5 6

t h r o u g ha contractwith Mr. olaf Barthel.something which Amiga was neverable

i t failed to compensate Barthel fbr his efforts. Mr. A true and accurate copy of Hyperion,s contract with Mr' Barthel(mistakenly datedoctober of 2001 instead December of of 2001)is

8 9 10 1t 12 l3 t4 l5 l6 l7 18 19 20 21 22
z)

attached heretoas Exhibit 4. 6l ' Quite a numberof contracts with developers actuallyprovidefor full t r a n s f e rof

o w n e r s h i p Hyperion.exclusive non-exclusive to or perpetual source-code licenses.A true and accurate example one of thoseagreements of is 62' attached heretoas Exhibit 17.

Amiga alsoclaimsHyperionfailedto disclose to Amiga that the ExecSGkernel,

w h i c h was developed Hans-Joerg by Frieden and ThomasFrieclenas Hyperion,s s u b c o n t r a c t o rwould not be ownedby Amiga s, 6 3' if it exercised Art. 3.01 of the 2001Agreement.

In response. shouldfirst of all be notedthat it both Hans-Joerg and Thomas

F r i e d e nareexplicitly listedas independent subcontractors Annex II of the 2001Agreement. in ( E x h i b i t 2' last page') The fact that they were not employees Hyperion was always clear to of A m i g a washingtonwho had contracted with Hyperion in 2001 for the development 3D of In the agreement 26 May 2004 of

t e c h n o l o g yfor their AmigaDE software("Ami3D',).

( " A g r e e m e n tfor the provision of software development services,,) this fact is oncemore e x p l i c i t l yacknowledged article2.01 of this in agreement whereinit is stated that ,Hyperion

s h a l l procurethe servicesof Hans-Joerg and ThomasFriedenas independent sub-contractors to

24

c a r r youttheWork.,,(Exhibit12.) 64' Moreover, Hyperion secure broad did a object-code license theExecSG to at a laterdate.(Exhibit1s.) In view
I - a w On'nrcES oF W r l l n u A. KrNsnr, pLLc
M A R K E T PLACE TOWER 2 0 2 5 First A!.enue.Suire4,10 S E A T T L E ,W A S H I N G T O N 9 8I 2 ] ( 2 0 6 )7 0 6 _ 84 8 I

25

26 k e r n ewith a contractual l option acquire ownership to full
DECLARATION OF EVERT CARTON 22

Case 2:07-cv-00631-RSM

Document 26

Filed 05/21/2007

Page 23 of 24

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o f the fact that the originalExeckemel-which is usedin Amiga OS 3.1,Amiga OS 3.5 and A m i g a OS 3.9-is entirelywritten in assembly (machine codeof the Motorola68000series of C P U which precludes recompilationon a different machine)renderingit entirely useless within t h e frameworkof an operatingsystemintendedto operateon the incompatiblePowerPC C P U ' s . Amiga is from a purely practicaland technicalstandpoint now not worse off with an object-code licenseof a PowerPCkemel which is written in C and no longertied to the Amiga proprietary customchipsets.PowerPCis a RISC microprocessor architecture created the by

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8 9 l0 l1
1 9 9 1Apple-lBM-Motorola alliance, known as AIM. Originallyintended personal for computers, PowerPCCPUs have sincebecomepopularembedded and high-performance p r o c e s s o r s well. PowerPCwas the cornerstone AIM's PRePand Common Hardware as of

Platforminitiativesinthe 1990s, butthe architecture foundthe most success inthe 1 2 Reference

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p e r s o n acomputer l marketin Apple'sMacintoshlinesfrom 1994to 2006 (beforeApple's

1 4 t r a n s i t i o n Intel). to t5
65. In additionto all of the otherproblems with Amiga Delaware's arguments, Art.

1 6 2 . 0 8 providesthat "in the eventAmiga decidesto halt development the ClassicAmiga OS of for l7 l8 t9
O S " trademqrkand at their sole expense. ) Amiga shall be deemed have halted ( to t h e TargetHardware, the Amiga One Partnersare granted an exclusive, perpetual,worldv'ide r i g h t and licen.se develop,use,modify and market lhe Sofrwareand OS 1 under the "Amiga to

20 2l 22
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d e v e l o p m e no/'the ClassicAmiga OS in the eventthat no substantiallynev,versionoJ-the t Clas,sic Amiga OSfor the Target llardware is releasedv,ithin 6 (six) months after the c o m p l e t i o n OS 4.0 by Hyperion." (Exhibit 2.) of 66. Hyperiondid in fact complete and release Amiga OS 4.0 to the contractual

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s in in of 2 5 s p e c i f i c a t i o n(asdescribed Annex I of the 2001 Agreement) December 2004. Amiga, new 2 6 h o w e v e r ,did not developa substantially versionof the ClassicAmiga OS for the Target
D E C L A R A T I O NOF EVERT CARTON- 23

L n w On'nIcES oF Wrllterrr A. KrNser-, PLLC
MARKET PLACE TOWER 2 0 2 5 First Avenue. Suite 440 S E A T T L E .W A S H I N G T O N 9 8 I 2 I ( 2 0 6 )7 0 6 - 8| 4 8

Case 2:07-cv-00631-RSM

Document 26

Filed 05/21/2007

Page 24 of 24

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H a r d w a r eAmiga within six monthsof that date. Amiga thereforeis deemedto have halted d e v e l o p m e nof the Classic t AmigaOS. As a result,sinceno laterthanJuly of 2005the

2

3 A m i g a O n ePartnershave "an exclusive, perpelual, worldwide right and licenseto tlevelop,use,
4 5 6
67. For all of the abovereasons, Amiga Delawarecould not terminatethe 2001 m o d i f y and markel the Softwareand OS 4 under the "Amiga OS" trademarkand at their sole e x p e n s e".

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A q r e e m e n t December 2006. in of

8 9 l0 11 l2 t3 l\,, 1 4 Place l5 l6 t7 18 l9 20 21 22
z.)

I DECLARE UNDERPENALTY OF PERJURYUNDERTHE LAWS O F THE STATE OF WASHINGTONAND BELGIUM THAT THE F O R E G O I N GIS TRUE AND CORRECT.

Date

i

E v e r t Carton

24 25 26
DECLARATION OF EVERT CARTON - 24

L e w On'nrcES oF W n r n u A. KrNsel, PLLC
M A R K E T PLACE TOWER 2 0 2 5 First Avenue. Suite 440 S E A T T L E .W A S H I N G T O N 9 8 I 2 I ( 2 0 6 )7 0 6 - 8 r 1 8