While still fighting in the courts and fresh from filing for Chapter 11 bankruptcy protection last month, The SCO Group could soon be selling its steadily-declining Unix business.

In a filing Tuesday in U.S. Bankruptcy Court in Delaware, the Lindon, Utah-based company said it has received a "potential" $36 million offer for its Unix business from JGD Management, an umbrella business of New York-based investment firm York Capital Management. The filing has been posted on the Groklaw.com Web site, which has been tracking the legal records of the ongoing lawsuits between SCO, IBM, Novell, and others. In it, SCO reports that the offer includes money for its Unix business, litigation claims, and for litigation expenses.

The bid is subject to approval by the bankruptcy court, according to the filing, and competitive bids could still be accepted from other potential buyers.

SCO filed for Chapter 11 bankruptcy reorganization last month as it began seeking ways to stay in business amid mounting expenses and several legal rulings that have hurt its legal fights with IBM and Novell.

If SCO gets out of the Unix business, it would continue solely as a mobile application platform vendor, which it has been working to become over the last several years.

An SCO spokesman could not be reached for comment about the buy-out offer. A spokesman for York Capital Managament declined to comment on the matter.

Three weeks ago, in an interview with Computerworld, SCO CEO Darl McBride said his company would continue to make moves to remain a viable business, despite the death knells sounded by some critics.

According to the terms of the York offer, approval of the deal is required from the bankruptcy court by Nov. 9, with the transaction needing to be completed by Dec. 7.

Computerworld is an InfoWorld affiliate