eBay is suing the popular internet community ad site Craigslist to “safeguard its four-year financial investment”.

In a statement, eBay claimed that in January, Craigslist executives took actions that “unfairly diluted eBay’s economic interest by more than 10%”.

No details of those actions were given by eBay.

In its company blog, Craigslist said it was surprised and disappointed by eBay’s “unfounded allegations”.

The company said eBay’s legal action “came to us out of the blue”.

The case, which is sealed, has been filed in a court in Delaware, where Craigslist is registered.
In a press statement, eBay claims that Craigslist’s founder Craig Newmark and its chief executive Jim Buckmaster adopted unspecified measures in January that have disadvantaged eBay and its investment.

Posted: 04|23|08 at 12:38 pm. Filed under: Auction News.