CORPORATE

US appeals court upholds $194 million in damages against TCS in trade secrets case

Tata Consultancy Services (TCS) has informed stock exchanges that it has received an adverse ruling from a US appeals court. The court has upheld nearly $194 million in damages against the IT company in a long-running trade secrets lawsuit, TCS has added.
The case, filed by Computer Sciences Corporation (CSC), now a part of DXC Technology Company, had alleged that TCS had misappropriated its trade secrets.
The latest development came on the evening of November 21, 2025, (US time) when the United States Court of Appeals for the Fifth Circuit confirmed the decision on damages issued by a lower district court.
However, the appellate court has provided partial relief to TCS by vacating an associated injunction and sending that part of the case back to the lower court for reassessment.
This ruling follows an initial adverse judgment that TCS had disclosed to stock exchanges in June 2024. At that time, the company had revealed that the US District Court, Northern District of Texas, Dallas Division, had found it liable for misappropriation of trade secrets under the Defend Trade Secrets Act of 2016.
The District Court’s order had held TCS liable for $56.15 million in compensatory damages; $112.30 million in exemplary (punitive) damages; and $25.77 million in pre-judgment interest (as of June 13, 2024). This brought the total financial penalty to approximately $194 million. The lower court had also passed certain injunctions against TCS, the details of which were not fully disclosed.
Throughout the process, TCS has maintained its position, asserting that it has “strong arguments” against the allegations. In its latest stock exchange filing, the company has stated: “The Company is evaluating various options, including review and appeal before the appropriate courts and intends to defend its position vigorously.”

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