Yahoo Parent Filed a Complaint against Mozilla for breach of contract

Yahoo Parent Filed a Complaint against Mozilla for breach of contract

In that deal, Mozilla retained the right to walk away and still collect hundreds of millions of dollars a year - if Yahoo was acquired by a new company. This is why the current dispute between Mozilla and Yahoo has led to legal action on both ends.

The Yahoo-Mozilla scuffle can be traced back to 2014, when Mayer herself struck a lucrative deal to make Yahoo the default search engine on the Mozilla Firefox browser, replacing Google; the deal included a clause to protect Mozilla in what Mayer evidently thought was an improbable change-of-control scenario. As the news of takeover emerged into the market, the agreement between Yahoo and Mozilla explicitly stated that the acquiring company would pay Mozilla $375 million per year through 2019 if Mozilla wasn't satisfied with the new owners of Yahoo. Mayer was presumably under the impression it would never actually come to fruition, but Yahoo was this year bought under the Oath umbrella, and here we are. The lawsuit focuses on Yahoo Holding and Oath which was based on Mozilla's agreement with the search engine for putting the default search browser in their web browsers.

The contract, however, was very much skewed in Mozilla's favor.

On December 1, Yahoo fired the first shot filing a complaint that alleges Mozilla breached a contract that existed between the two companies by terminating the arrangement early.

Mozilla terminated the agreement that it had in place with Yahoo in early November, with Yahoo having allegedly ceased payments after the end of October. (In response, Mayer's legal team agreed to have her testify before the Senate Commerce Committee-an outcome Mayer had initially resisted-and reportedly requested that lawmakers withdraw the subpoena in order for her testimony to "appear voluntary.") Now, her specter is reportedly haunting the remains of a deal between Yahoo's new owner, Oath, and Mozilla, inciting a legal battle.

The counter-claim also suggested that the allegedly missing payments have kicked a hole in Mozilla's budget.


We recently exercised our contractual right to terminate our agreement with Yahoo based on a number of factors including doing what's best for our brand, our effort to provide quality web search, and the broader content experience for our users.

"Immediately following Yahoo's acquisition, we undertook a lengthy, multi-month process to seek assurances from Yahoo and its acquirers with respect to those factors", the company explained in a blog post yesterday.

Dixon added that the terms of Mozilla's agreement with Yahoo clearly spell out its post-termination rights.

Damage to its brand could be a key defence. Mozilla additionally changed defaults for other countries as well. And virtually no one believes Yahoo is superior to Google. On December 5, Mozilla filed a cross-complaint seeking to ensure that our rights under our contract with Yahoo are enforced. In addition, $375 million is a massive amount of money, even for Verizon's stature. It's unsurprising that Oath would fight this tooth-and-nail.

So it seems Mozilla can switch search partners and still expect revenue.

Related News:

  • Health Dept investigating source of listeriosis outbreak

    Health Dept investigating source of listeriosis outbreak

    Motsoaledi says newborns, the elderly, pregnant women and people with weak immunity are at high risk of getting listeriosis . This can lead to septicaemia and meningoencephalitis‚ which is an infection of the brain.
    Air transport net profits to rise 11pc in 2018: IATA

    Air transport net profits to rise 11pc in 2018: IATA

    Latin America: Airlines in Latin America are forecast to generate a $900 million net profit in 2018, up from $700 million in 2017. While the demand in the cargo markets remains strong, several indicators show that it may have passed the growth peak.
    Willie Taggart coming back to Florida to coach FSU

    Willie Taggart coming back to Florida to coach FSU

    McMurphy also cited sources saying returning to his home state of Florida was a factor in Taggart's decision. Despite stabilizing a handful couple of programs, FSU's next head coach boasts a 47-50 overall record.
  • Natural disaster  of 5.5 magnitude hits Delhi-NCR, Uttarakhand; epicentre East Dehradun

    Natural disaster of 5.5 magnitude hits Delhi-NCR, Uttarakhand; epicentre East Dehradun

    The epicentre of the quake was at a depth of 30 km, according to Vikram Singh, director, MeT office, Dehradun. The epicentre was Rudraprayag in Uttarakhand, according to India Meteorological Department (IMD).
    Honor 7X and View 10: Specs, Price, and Availability Details

    Honor 7X and View 10: Specs, Price, and Availability Details

    The phone is powered by HiSilicon Kirin 970 octa-core processor which runs on the latest Android 8 .0 Oreo along with EMUI 8.0. Apart from India, the device will be launched in France, Germany, Italy, Britain, the US, Spain and Russian Federation .
    Russian Federation  banned from 2018 Winter Olympics over doping

    Russian Federation banned from 2018 Winter Olympics over doping

    Those with histories of rigorous drug testing may petition for permission to compete in neutral uniforms. Bach also said the Russian committee must give the IOC $15 million to pay for the doping investigation.
  • As Fires Spread Across Los Angeles, Museums and Galleries Close

    As Fires Spread Across Los Angeles, Museums and Galleries Close

    Padilla said she was woken up at approximately 4 a.m.by the Los Angeles County Fire Department's orders to evacuate immediately. Some area restaurants chose to remain open amid the fire and smoke-filled skies, while others closed shop for the day.
    Trump Working Against A Future Senator Romney

    Trump Working Against A Future Senator Romney

    The report stated in more recent times, Hatch also played a pivotal role in passing Trump's tax reform bill through the Senate. According to Trump deputies, the president's relationship with Hatch began before Romney planned of being Utah's senator.
    Baker Mayfield named Heisman Trophy finalist

    Baker Mayfield named Heisman Trophy finalist

    He averaged 10.5 yards per carry and 114.3 yards per game on the ground and finished his high school career with 83 touchdowns. Mayfield is considered the favorite to win the award this year, despite some off-field issues that have clouded his candidacy.
  • Why and When Hugh Jackman Turned Down James Bond

    Why and When Hugh Jackman Turned Down James Bond

    The actor sings, dances and tries to embody all the larger-than-life pizazz that made the circus owner " the greatest showman ". And it seems that our home-bred Hugh Jackman piqued their interest, having just begun playing Wolverine in the 2000 hit X-Men.
    NFL Commissioner Roger Goodell Reportedly Inks Contract Extension

    NFL Commissioner Roger Goodell Reportedly Inks Contract Extension

    Jones had been removed as a non-voting seventh member of the compensation committee after his threat of a lawsuit. The deal will reportedly be worth about $40 million over the five years, according to the Washington Post .

    Cineworld Agrees To Buy Regal Entertainment For $3.6 Bln

    Shares repurchase programs are generally a sign that the company's board believes its shares are undervalued. Alliancebernstein L.P. raised its stake in Regal Entertainment Group by 11.6% during the 2nd quarter.


Most liked

President Trump Was Named Time's "Runner-Up" Person Of The Year
At least 50 prominent men have been accused of sexual misconduct in recent weeks, according to the Associated Press . In the end, however, it was women who made a firm stance against sexual harassment and assault won it.

During Trump inaugural, Flynn greenlighted nuclear project with Russian Federation
Cummings also asked Gowdy to subpoena several of Flynn's business partners, related companies and other administration officials. The unnamed whistleblower said that on Inauguration Day he met with Alex Copson , who had worked with Flynn on the plan.

Spain's Silva extends contract with Man City
If he's given a shot in this game, though, Kovalenko could announce himself to Europe with a great performance against one of the competition's favorites.

TVS Apache RR310 launched in India at Rs2.05 lakh
It also shares alloy wheels with its BMW badged sibling, which come shod with wide tubeless tires (110/70 front and 150/60 raise). As for the pricing, it could be an affordable alternative to the likes of Kawasaki Ninja 300 and KTM RC390.

Never represented Sunni Waqf Board in Supreme Court: Kapil Sibal
I do not know on whose behalf the counsel for the Muslims appearing in the apex court, Kapil Sibal had stated this. It said it had not issued any instruction to Sibal to seek shifting of hearing till after the general elections.

Earnings Analysis Of Kinder Morgan, Inc. (KMI)
Colony Group Llc increased Ishares S&P 500 Growth Index (IVW) stake by 5,678 shares to 51,559 valued at $7.06 million in 2017Q2. Associated Banc-Corp increased Vanguard Tax Managed Intl Fd (VEA) stake by 10,688 shares to 84,591 valued at $3.50M in 2017Q2.

SpaceX's new "Falcon Heavy" rocket to carry Tesla Roadster to Mars
The rocket, which uses 27 Merlin engines (in three blocks of 9 engines), will generate 5 million pounds of thrust. The answer is somewhere between the second and third options, according to Musk and anonymous SpaceX sources.

Trump's Cut To Utah Monuments Sparks Protests And Lawsuits
Trump, he says, "listened to the local people, even though they weren't millions of voters, only 15,000 people in our community". The changes will make way for oil and gas drilling, mining and other resource extraction activities in the beauty spot.

Apple To Be Charged $15 Billion As Back Tax By Ireland
KitGuru Says: Apple may start setting the money for this aside soon, but it seems clear that it still wants to get out of it. According to the EU, the tax deal allowed Apple to pay nearly nothing in tax on its European profits between 2003 and 2014.

Republican Senator Says Comments About 'Booze or Women' Were Misunderstood
The House version calls for elimination of the estate tax by 2024, but doubles the exemption before its full repeal. As for the people who are not "investing", Grassley slammed them for spending "every darn penny" on useless things.

Netflix's Altered Carbon trailer paints a grotesque, violent dystopian future
He is imprisoned, his consciousness stored and awoken centuries later by a wealthy mogul to solve a murder case. Morgan's books of the same name and follows protagonist Takeshi Kovacs as he investigates a murder.

ABC News suspends Brian Ross over erroneous Michael Flynn report
I think it's very important for journalists in this political culture to be more aggressive, and more cautious at the same time". On Saturday, ABC News apologized for the error and announced Ross' suspension.

Microsoft showcases first Windows 10 laptops with Qualcomm chips instead of Intel
Tuesday marked the first time the chipmaker has publicly discussed the name of its new processor. There are now 238 million Xiaomi mobile phones powered by Qualcomm processors.

LaVar Ball pulls Lonzo Ball's brother LiAngelo Ball from UCLA
In a surprising move, LaVar Ball has removed his son LiAngelo Ball from UCLA , according to an initial report from TMZ Sports . LiAngelo , a college freshman, told " Today " that being jailed in China was "horrible".

'House of Cards' to finish final season without Kevin Spacey
Spacey reportedly traveled to Arizona last month to seek unspecified treatment at a rehabilitation facility. Here's to Robin Wright getting even more screen time in the final year of House of Cards .