Xerox could be forced to pay up to 211m ($300m) to retired staff after a court ruled it had "incorrectly calculated" lump-sum retirement payments.


Lawyers for the employees who brought the case against Xerox said that it covered at least 25,000 former staff who chose to receive pension benefits in one payment, rather than separate monthly cheques.


Judge David Herndon of the US District Court for the Southern District of Illinois is expected to issue a formal ruling within the next few weeks.


A spokesman for Xerox said although the plaintiffs lawyers had said that as many as 25,000 former employees could be affected, there were too many variables to determine precise numbers.


"Whatever the judge determines we will be appealing the case," he said.