News Release

Kinaxis Files Motion to Dismiss Blue Yonder's Complaint, Files Counterclaims

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Alleges Blue Yonder's patents are invalid and that the company misappropriated Kinaxis' trade secrets

OTTAWA, ON, Feb. 22, 2021 /CNW/ - Kinaxis® Inc. (TSX: KXS), the authority in driving agility for fast, confident decision-making in an unpredictable world, today filed its initial pleadings in response to the allegations filed in the Northern District of Texas by Blue Yonder in December 2020.

Kinaxis has filed a motion to dismiss the entirety of Blue Yonder's complaint, citing that Blue Yonder's patents are invalid. Blue Yonder asserts six patents that cover well-established concepts in the field of inventory and supply chain management, where Kinaxis and Blue Yonder are competitors. Those patents simply take generic computer technology and apply it to decades-old concepts like sourcing a bill of materials or allocating manufacturing resources. U.S. law does not allow people to patent "computerized shopping lists" under the U.S. Supreme Court's 2014 Alice decision.

Kinaxis has over 25 years of experience in the industry, benefiting from the work of hundreds of developers, representing thousands upon thousands of "person years" developing its technology, and offers world-class service to its blue chip list of customers.

According to John Sicard, CEO of Kinaxis, "Blue Yonder has resorted to litigation to compete where they have otherwise failed. They are using lawyers instead of engineers to play catch-up in the marketplace, where even Blue Yonder acknowledges significant losses to Kinaxis, including several very recent competitions that were in flight at the time of their initial filing. Kinaxis uses our own intellectual property and will not bow to legal threats."

Kinaxis has also filed counterclaims, which, in addition to alleging Kinaxis does not infringe any of Blue Yonder's patents and that the patents are invalid, also allege that Blue Yonder has violated federal and Texas law by misappropriating certain of Kinaxis' trade secrets. Kinaxis has also filed a motion asking the court to force Blue Yonder to return or destroy confidential Kinaxis documents, and to stop using those documents in the case or in competition. The presiding judge has not yet resolved on Kinaxis' motions but did quickly agree to Kinaxis' motion to seal the complaint.

"Our proprietary methods and processes are vitally important to Kinaxis and represent decades of innovative research and development," said Jamie Hollingworth, Chief Legal Officer, Kinaxis. "We cannot sit idly by while a competitor like Blue Yonder accesses those secrets and attempts to make use of them in litigation or otherwise. Kinaxis welcomes the opportunity to compete fairly with Blue Yonder in the marketplace."

Kinaxis' filings today make clear that Kinaxis respects the intellectual property rights of others. It has not infringed Blue Yonder's intellectual property rights, and it will vigorously pursue all avenues to protect its own.

About Kinaxis Inc.
Everyday volatility and uncertainty demand quick action. Kinaxis® delivers the agility to make fast, confident decisions across integrated business planning and the digital supply chain. People can plan better, live better and change the world. Trusted by innovative brands, we combine human intelligence with AI and concurrent planning to help companies plan for any future, monitor risks and opportunities and respond at the pace of change. Powered by an extensible, cloud-based platform, Kinaxis delivers industry-proven applications so everyone can know sooner, act faster and remove waste. For more Kinaxis news, visit Kinaxis.com or follow us on LinkedIn or Twitter.

Forward-Looking Statements
Certain statements in this release constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements include statements as to Kinaxis' growth opportunities and the potential benefits of, and demand for, Kinaxis' products and services. These statements are subject to certain assumptions, risks and uncertainties, including our view of the relative position of Kinaxis' products and services compared to competitive offerings in the industry. Readers are cautioned not to place undue reliance on such statements. Kinaxis' actual results, performance, achievements and developments may differ materially from the results, performance, achievements or developments expressed or implied by such statements. Risk factors that may cause the actual results, performance, achievements or developments of Kinaxis to differ materially from the results, performance, achievements or developments expressed or implied by such statements can be found in the public documents filed by Kinaxis with Canadian securities regulatory authorities. Kinaxis assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by law.

SOURCE Kinaxis Inc.

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