ALTERNATIVE DISPUTE RESOLUTION

SIMULATION

NEGOTIATION PLAN

IT’S ALL ABOUT COPYRIGHTS

AND PROFIT MAKING

FOR STAR

TEAM CODE: H

1
NEED:
To provide reasonable opportunities for resolving the dispute regarding the ownership and IP
rights over PowerScreen software and to reach a consensus for the efficient structural
management of the company in order to deteriorate the further scope of conflict of interests
among the partners in the company.

INTERESTS:

• To derive software’s copyright in the name of the company to maintain its goodwill
and reputation in the domestic and international market.
• To strike out a system to decide upon the profit sharing mechanism for the software.
• To sign an agreement to decide upon contingencies which may further arise in case of
non-agreement between the parties.
• To ask for annual interest on fixed capital used by Hacker in the development of
software.

STRATEGIC STRONG POINTS:

• HackerStar Inc. is a small closely held corporation that develops and markets software
for microcomputers. It has established its name in Indian as well as European market.
• Star being an equal owner in the company, provides all the capital required for the
functioning of the company. He has a prominent say in all the essential decisions of
the company. Anything for which he doesn’t consent ought not be done.
• It is true that Hacker has developed the technology PowerScreen partly using his time
and he has followed all the due diligence processes, but all the resources required to
develop the software have been provided by Star to the company.
• Hacker developed the software at a point of time when the company had already
planned to launch an alternative educational-based model app.Company’s goodwill
and production levels have been adveresely affected, for which Star needs to be
compensated.

STRATEGIC WEAK POINTS:

• The HackerStar Inc., the corporation for developing and marketing software has been
established by Hacker.
• Hacker being a professional programmer has developed ‘PowerScreen’ on the basis of
his own intellect and investing extra time and efforts in the programming of this
software.
• Since Hacker is a programmer, and the manager of the company’s products, the whole
basis of the company’s functioning and existence is based on his skills and
performance.
• The ‘PowerScreen’ software is more reliable and advanced as compared to the
educational application that was previously decided to be launched.

2
GOALS AND OBJECTIVES:
 To formulate a satisfactorily structured scheme on how to improve the
management structure of the company after the stalemate is broken with dialogue.
 To decide upon the profit sharing ratio in the present situation.
 Work upon the marketing strategy of PowerScreen once the question of its
ownership is decided upon.
 To receive a composite deal for both the owners Hacker and Star or arrange for
an exclusive collaboration that secures the growth momentum of both
theventures.

VIABLE/CONCILIATORY OPTIONS:

• To accommodate the interests of both the owners by compromising on the estimated

value in the profit sharing.
• To appoint a neutral employee to work upon grievances based on marketing and
resource sharing matters .

BATNA:

• To approach other similarly placed microcomputers competitors for making an

investment.
• If Hacker and Star cannot reach a solution to their problem together, Star would look
forward to selling its 50% shares in the HackerStar Inc. and that would lead to
withdrawal of all finance from the company.
• Forming a joint venture with domestic companies in respective cites wherein Star
would divulge its managerial and operational interests in the favor of such companies
or startups in exchange for US$100 million before December 2021, with a
proportionate passive stake.