Vodacom Loses Please-Call-Me Battle; Claim of R6.75billion

ChefDJ

///Member
Vodacom loses Please Call Me legal battle as inventor seeks R6.75 billion


Vodacom-logo-outside.jpg



Nkosana Makate, who claims he invented Vodacom’s Please Call Me service in 2000, has won his Constitutional Court case against the mobile operator. This is according to several reports.

Vodacom spokesperson Byron Kennedy said: “We are aware of the Constitutional Court ruling and are currently studying its contents.”

Makate was fighting Vodacom in a bid to get additional compensation – as much as R6.75 billion – which he says he was promised by the company.

He filed papers in the Constitutional Court last year after the South Gauteng High Court dismissed his case against Vodacom, with costs.

According to Makate, his boss Philip Geissler promised – in an oral agreement – to facilitate remuneration negotiations with the company.

Vodacom argued that the rights to anything developed or produced by its employees belong to the company. Makete disputed this, arguing the idea fell outside of his normal duties at Vodacom.

Vodacom also said that Geissler did not have the right to promise Makete anything on behalf of the company.

Vodacom argued there is a difference between an idea and a working product. The final product, which uses a USSD and SMS system with advertising, may therefore not be what Makete envisaged.

The High Court dismissed the civil case against Vodacom with costs on 1 July 2014.

Law and constitution writer at Business Day, Franny Rabkin, tweeted that the Constitutional Court has no ground to reverse the factual findings of the High Court.

One of the findings was that Makate has proved existence of an agreement between him and Vodacom.

Rabkin reported that the Constitutional Court said the majority and minority agree that Vodacom is bound by this agreement, and must negotiate in good faith to pay him reasonable compensation.

It was reported that the Constitutional Court has ordered Vodacom to determine compensation to Makate within 30 days.

Source: http://businesstech.co.za/news/mobi...attle-as-inventor-seeks-r6-75-billion/[/SIZE]
 

VictorMike

///Member
The mobile operators are by and large, a collection of scum bags, and I am glad that the little guy got the win.

O/T.. do you know it costs mobile networks NOTHING to send an SMS? True story.
 

pimpassdaddy

Well-known member
Your heading is incorrect... Judgement hasn't said anything about the amount.

It has ordered that settlement be reached in 30 days. Doubt it will be anything near that amount, but it'll be substantial nonetheless.
 

Zound

///Member
BeemerFanatic said:
Well if they stole someone else's idea, then they should cough up.

Intellectual property rights generally belong to the employer for any invention created by an employee. The fine print comes in when discerning whether the invention was part of the scope of the employees responsibilities or scope of employment, or not.
 

SylisM

///Member
Wow finally, my Auditing lecturer told me about this case back in 2014. I am glad things went this guys way but as for the amount he wants I am sorry I feel its a bit too much. A couple of millions sure maybe but R6bn now that's a hefty amount.
 

ChefDJ

///Member
I see somebody has thrown a spanner in the works, here...

MTN getting involved claiming the court case victor is in fact not the inventor of the "please-call-me", but rather MTN themselves :mmm:

This could mean an even bigger claim against Vodacom...
 

zulu

Member
During an interview he gave today on SAFM the figure is derived from an 'an agreed 15% of the revenue derived from his idea'. Figures bandied about wrt revenue earned by Vodacom were in the region of 54 billion.....
 
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