SAP Reaches Settlement With Waste Management

Enterprise software developer SAP has settled a lawsuit with customer Waste Management, over allegedly a failed software solution.

According to reports, SAP settled with Waste Management for an undisclosed sum after it accused SAP of selling it defective enterprise resource planning (ERP) software.

Documents filed by Waste Management at the time of the lawsuit accused SAP of selling "undeveloped, untested, and defective" software, claiming that the software lacked key functionalities.

SAP hit back with another lawsuit, claiming that it was Waste Management's fault the ERP failed to meet expectations, as the company had failed to define its core needs in a timely and accurate manner.

In addition, SAP said that WW had also failed to put skilled and knowledgeable people to work with SAP on the software.

After a two-year-long legal wrangle, a Securities Exchange filing made by Waste Management has revealed that SAP, based in Walldorf, Germany, has agreed to pay an undisclosed sum in settlement.

Waste Management had sued SAP for a $100 million - the cost of the ERP software - as well as an additional $350 million for loss of profits.

Anyhow, future and existing SAP customers are likely to evaluate the stand off between the German company and a strategic customer like WW.