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FRENCH YAHOO JUDGMENT (RELATED LITIGATION) (fwd)
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- Subject: FRENCH YAHOO JUDGMENT (RELATED LITIGATION) (fwd)
- From: Heiko Recktenwald <uzs106@ibm.rhrz.uni-bonn.de>
- Date: Fri, 31 May 2002 01:08:36 +0200 (CEST)
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<snip>
Last week, Yahoo sued its insurance company in a California state court,
claiming that the insurer told Yahoo in February of 2001 that its $5
million policy covered the defense of the action in Paris--but not Yahoo's
federal declaratory relief suit in San Jose, CA. Yahoo v. Gulf Underwriters
Insurance Co. (CV808117, May 2002). Yahoo's lawyer said that the French
court's order had "disastrous consequences" for the Internet industry as a
whole, and had to be countered in the United States. Thus, "[t]he French
court's order was not technically possible; [and] Yahoo could not prevent
access to certain content on its U.S. site by French citizens."
I believe that the outcome could impact Yahoo's continuing willingness to
"defend" the case (initial filing in Paris), via it's responsive
declaratory relief action filed last year in the US (California). OTOH,
Yahoo should get industry support, should its insurer win the coverage
suit, because this case is "huge" in terms of its potential for attracting
significant national controls on the Internet. For further details, see
today's news story at
<http://www.law.com/cgi-bin/nwlink.cgi?ACG=ZZZGJXZXT1D>.
<snip>
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