Mexican Lawsuit Takes Yahoo South of the Border

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Mexico City, Zocalo by flickr user Borya, licensed by Creative Commons

Pleito; that’s Spanish for “lawsuit”

Como se dice “Yahoo” en Espanol?  In a recent lawsuit between Yahoo and Mexico’s version of the Yellow Pages, Yahoo has been accused of various counts relating to breach of contract.  A judge in Mexico City has brought down a $2.7 billion judgment on the internet corporation.  Worldwide Directories and Ideas Interactivas claim that they have been losing profits due to Yahoo and Yahoo de Mexico’s regular business practices.  The details of the lawsuit have not become public information; reports out of their headquarters in Sunnyvale, California state that Yahoo does not believe the decision to be final.

According to the most recent data, $2.7 billion is about 36% of Yahoo’s total worth.  The real curious thing here is that the grounds for the lawsuit have yet to become public information.  As stated, the Mexican government have not released any court documents pertaining to the case, leaving the specific details in a shroud of mystery.

Speculation is rising around any claim that Worldwide Directories and Ideas Interactivas have are still unavailable.  Analysts apparently do not take this decision with much legitimacy, as stocks of Yahoo (YHOO) have remained relatively stable in all markets immediately following the news.