Basis vs Amazon

by Hiawatha Bray
Jan 19, 2008

Basis Technology wins ruling vs. Amazon.com Basis Technology Corp. of Cambridge has won the latest round in a five-year legal slugging match against Amazon.com. Basis specializes in text analysis and information retrieval software in multiple languages and played a major role in the development of Amazon's Japanese website. Amazon holds a significant portion of Basis preferred stock and a board seat. Basis sued in 2003, and the companies reached a settlement. However, the suit alleges that Amazon attempted to back out of the deal, while Basis insisted the deal was binding. A Superior Court ruling agreed with Basis, but Amazon appealed. Last week, the Appeals Court of Massachusetts upheld the lower court ruling.