RSS
Twitter
Facebook
YouTubeCraigslist Sues eBay … Take Your Ball and Go Home!Written on: May 14th 2008
Author: by Kathleen
ADOTAS – In a corporate game of “I’m rubber and you’re glue†Craigslist is slapping eBay with a counter-lawsuit in which it accuses the online auctioneer of stealing corporate trade secrets, among a roster of other unseemly deeds.
Craigslist also charges eBay with unfair competition, diluting its minority stake in its business, fraud, copyright infringement and posting misleading advertisements on Google. (Craigslist claims eBay ran ads for Craigslist rival classified service kijiji – which eBay owns  that masqueraded as Craigslist ads.) Confused yet?
The countersuit (filed yesterday in California) is a response to eBay’s suit (filed in Delaware in April) alleging that Craiglist violated its rights as a minority shareholder. eBay claimed that in January, Craigslist founder Craig Newmark and chief Jim Buckmaster, unfairly diluted eBay’s economic interest in the company – but it didn’t get into specifics. In 2004, eBay bought a 28.4% stake in Craigslist.
“The recent actions by the Craigslist directors have disadvantaged eBay and its investment in Craigslist,†Mike Jacobson, eBay’s senior vice president and general counsel, said in a released statement last month. “Since negotiating our investment with Craigslist’s board in 2004, we have acted openly and in good faith as a minority shareholder, so we were surprised by these recent unilateral actions. We are asking the Delaware court to rescind these recent actions in order to protect eBay’s stockholders and preserve our investment.â€Â
On Craigslist’s blog, in an entry titled “Unlawful and Unfair,†Buckmaster explains the company’s complaint: “We filed a complaint in California today, charging eBay with unlawful and unfair competition, misappropriation of proprietary information, deceptive passing-off, business interference, false advertising, phishing attacks, free-riding, trademark infringement, trademark dilution, and breaches of fiduciary duty.
We respectfully ask the Superior Court in San Francisco to enjoin this conduct and order eBay to (1) make full restitution to craigslist, (2) disgorge their related profits (3) restore to craigslist all shares of the company acquired by means of, or for the purpose of unfair competition, and (4) pay punitive damages for their malicious behavior.â€Â
If Craigslist were to “restore to craigslist all shares of the company acquired†itself, a.k.a. buy em back, it would cost the company about $1 billion.
eBay, for its part, released a statement expressing “regret†over Craigslist’s “unfounded and unsubstantiated claims.â€Â
Columbus Underground Messageboard » General Columbus Discussion
Craigslist Sues eBay
[14 posts] [9 contributors]
Rate this topic:
-
hazy stars
The Brauhaus
Login to Send PM
Posted 4 years ago # -
JonMyers
HCMC ✈
Login to Send PM
The way eBay became a shareholder in Craig's List in the first place was shady. Disgruntled ex-employee of Craig's List owned 25% and sold their interest to eBay. Not sure how or why the Craig's List folks couldn't block that transaction.
eBay is kind of like the K-mart of the Internet. Such a junky rummage sale feel on that site.
Posted 4 years ago # -
lifeliberty
Here
Login to Send PM
JonMyers wrote eBay is kind of like the K-mart of the Internet. Such a junky rummage sale feel on that site.
same could be said of craigslist. both are internet garage sales.
Posted 4 years ago # -
Matthew
Hilltop
Login to Send PM
At least Ebay doesn't give prostitutes an opportunity to do business online, or give racists an open forum to spew hate, or allow such racey personals that it doubles as a free porno,,,I'm sure there's more.
My point is better to be a garage sale than a huge hot mess catering to all nasty sides of life, and then some.
Posted 4 years ago # -
lifeliberty
Here
Login to Send PM
MatthewJR30 wrote At least Ebay doesn't give prostitutes an opportunity to do business online, or allow such racey personals that it doubles as a free porno
I fail to see how this gets ebay a positive mark :lol:
Posted 4 years ago # -
Ndcent
OTE
Login to Send PM
MatthewJR30 wrote At least Ebay doesn't give prostitutes an opportunity to do business online, or give racists an open forum to spew hate, or allow such racey personals that it doubles as a free porno,,,I'm sure there's more.
My point is better to be a garage sale than a huge hot mess catering to all nasty sides of life, and then some.
Why do you care about "racey personals that double as free porno"?
Are you a bible pounder?
Posted 4 years ago # -
JonMyers
HCMC ✈
Login to Send PM
I see Craig's Lists various communities (organized by city) as a mini-reflection of the cities they represent. Like most cities there is prostitution, frauds and rip-off artists. Pick up the Alive or Other Paper and check the ads in the back section. Same thing.
Like any municipality Craig's List has a more light handed approach to community policing and less of a profit motive. Though, the site does make money to the tune of $100 Million a year. They could easily be making 10 times that.
Ebay on the other hand is of course, a for-profit business. In fact, they're so hell bent on profit that they've neglected their core base, which is causing a large defection of seller to other sites.
Posted 4 years ago # -
Coremodels
Really close to Explorer's Club.
Login to Send PM
I've bought and sold stuff on craigslist...
I've never bought and sold anything on e-bay...
that's pretty much it.
Posted 4 years ago # -
shroud
Polaris
Login to Send PM
The sad thing is that eBay and Craigslist aren't even really in much direct competition - eBay is more for the worldwide market, while Craigslist is much more localized. It's only when eBay brought in Kijiji, which IS more of a direct competitor, that things got really shady.
Posted 4 years ago # -
Ndcent
OTE
Login to Send PM
MatthewJR30 wrote Of course I don't have a problem with racey porno! Or personals. I do have a problem with the racists, and the whores though. Plus I was just defending Ebay which has sent me more than a few decent paychecks.
Why do you hate free speech?
Posted 4 years ago # -
Matthew
Hilltop
Login to Send PM
I don't hate free speech either. Nor am I one to fall into your goading games Ndcent, so this will be my last response to you regarding this topic.
I hate "hate" speech. And I hate the spread of disease by people who solicit sex from professionals, then take it home to their spouses, who are innocent victims.
I said it in a joking manner, and most people got it. Except for you, of course, but we all know that you just like to stir shit up.
Have a great day!
Posted 4 years ago #
You must log in to post.
Launched in August 2010, TheMetropreneur.com is a local online resource devoted to small business development and entrepreneurship. Its aim is to tell the stories of Central Ohio's business community, foster regional economic development and assist entrepreneurs with its resource-heavy focus.