Calyx Seeks to Enjoin Ellie Mae

Calyx Software, San Jose, Calif., has filed for a preliminary injunction against its rival Ellie Mae, Dublin, Calif., that broadens an earlier dispute alleging that Ellie Mae committed copyright infringement.Specifically, Calyx contends that Ellie Mae's Encompass product infringes on the "structure, user interface, and look and feel" of Calyx's Point software. "We at Calyx have felt compelled to take this action against Ellie Mae in order to protect our intellectual property," said Dennis Boggs, senior vice president of business development at Calyx. "We put a great deal of work into developing the user interface in all of our software products. We feel we have to protect the value we have created." The case was filed in the Northern District of California, San Jose. The earlier copyright dispute alleged that Ellie Mae committed "copyright infringement, false designation of origin and violations of the California Unfair Competition laws." Mr. Boggs said he expects an answer to the injunction filing within six weeks and is unsure how this will affect the release of version 1.5 of Encompass planned for next month. Ellie Mae chief executive Sig Anderman calls the legal action "an act of desperation from somebody who is losing market share." Mr. Anderman said the differences between Point and Encompass are "very dramatic." The only similarities are "those that are generic and standard in the industry, like the 1003 and 1008 forms that are mandated by Fannie and the secondary market," he said.