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Oracle hits back in PeopleSoft suit

Oracle on Tuesday argued in a California court that a lawsuit business software rival PeopleSoft filed against it has no legal basis. PeopleSoft, currently a target of a , alleges that the database giant engaged in unfair practices by trying to disrupt its business with the buyout bid.

In court, Oracle argued that company CEO Larry Ellison's public comments that the bid was having an effect on PeopleSoft's business were not actionable because they were "mere puffery." The arguments follow a tentative ruling on Monday by Alameda County Superior Court Judge Ronald Sabraw, who said the case may move forward. The judge, however, will take Oracle's arguments into consideration and is expected to issue a final decision in the near future, attorneys for the parties said.