SCO is the company that has sued IBM and others claiming that Linux uses UNIX source code that belongs to SCO.

The judge hearing the case recently ruled on several summary judgment motions, including a decision that Novell owns the Unix copyrights, not SCO. While the case is not over yet, that is a fundamental decision against SCO, and good news for all Linux users. Novell has publicly stated that they have no intention of taking any actions regarding Linux.

For more detail and commentary, see the Groklaw blog post of August 10, and subsequent entries.