Today, SCO decided to take pre-emptive action towards their ailing financial situation and filed for bankruptcy protection. Given their less than stellar performance, both as a company and in the courts, I am absolutely not surprised in the slightest.
With less than $10 Million left to operate on, and facing royalties they may have to pay to Novell, SCO is teetering on the edge and they know it. Over the course of the last decade, SCO has put an immense amount of money, totaling in the billions of dollars, towards legal attacks on other companies around the world. With almost no victories to call their own and a shrinking market, it seems unlikely to me that they will be able to recover.
Perhaps the $5 Billion they spent attacking IBM in the courts would have been better suited in their R&D department - which is no doubt nothing more than a skeleton crew by now. Given their attacks not only on Unix but also Linux, I find it hard to feel pity for the crumbling SCO.