Sue Me & I’ll Sue You Back [Craigslist & eBay Feud]

Posted May 13, 2008

What makes the whole eBay vs. Craigslist saga interesting is that it seems better to resolve the situation outside of court. Both companies are disagreeing about certain business ethics. Craigslist diluted eBay’s share in the classifieds company, but eBay did create a competitor and even dubbed it a “Craigslist killer.”

Craigslist filed a complaint at the Superior Court in San Francisco, Calif. against eBay claiming that federal and antitrust laws were violated.

eBay responded by saying that the allegations are an attempt to take attention away from their own lawsuit.

eBay filed a lawsuit last month against Craigslist saying that founder, Craig Newmark and CEO, Jim Buckmaster engaged in several transactions to intentionally dilute eBay’s share in the classifieds powerhouse. eBay spent $13.5 million for 28% stake in Craigslist in August 2004.

An unfair move by eBay was that they placed a board member on the Craigslist board who sought confidential information. Craigslist information such as traffic statistics and launch dates was requested while eBay was preparing to launch Kijiji, the “Craigslist killer.”

Stay tuned to Pulse 2.0 as the case develops.

Information Source:
[1] Associated Press:  Craigslist countersues eBay, saying it broke antitrust laws by Amanda Fehd