Mozilla countersues Yahoo Holdings and Oath

Image Credit dennizn

Image Credit dennizn

While Mozilla is claiming the annual $300 million payment that Yahoo is legally contracted to pay over the use of the latter as the default search engine on Firefox, Yahoo believes it is unfair on the part of Mozilla to demand the amount given that Mozilla has stopped using Yahoo as the default search engine on its browser.

Just days after Yahoo Holdings/Oath sued Mozilla for breach of contract, the organization behind the Firefox Web browser has fired back with a breach of contract countersuit of its own. Mozilla has now claimed breach of contract and filed its own cross-complaint.

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.

However, Yahoo changed hands in between with Verizon being the new owners.

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Before taking to court, Oath explains that it tried to make amends with Mozilla by asking it to "take immediate steps to cure its breaches and rescind its termination notice". Attorneys representing Mozilla also did not respond to inquiries.

Mozilla has finally come out in response to the litigation filed against them by Yahoo. "When it became clear that continuing to use Yahoo as our default search provider would have a negative impact on all of the above, we exercised our contractual right to terminate the agreement and entered into an agreement with another provider". Web browsers, where most Internet users start their online visits, are a lucrative source of search traffic against which companies like Yahoo and Google sell ads.

This unusual clause was added to the deal struck by former Yahoo CEO Marissa Mayer as a means of luring Mozilla away from Google.

Although there aren't any details available on the contract signed by the companies, Mozilla claims that the terms for termination were laid out clearly.

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Actually, Yahoo will continue to suffer because it's a rubbish search engine, but anyway... But at the same time, what has to be considered is that while Mozilla's Firefox has a market share of 13 per cent, at the same time, Google's Chrome has a market share of close to 60 per cent. Reports of widespread security breaches at Yahoo hurt its reputation, according to Mozilla. Google has been Mozilla's partner in other countries even though Mozilla has deals with Baidu in China and Yandex in Russian Federation.

In its complaint, Mozilla also asked that Yahoo comply with the agreement's payment requirements, noting that those "are key to financing Mozilla's efforts to launch the new version of its flagship product, Firefox".

In mid-November, Mozilla announced it was switching back to Google as its search provider in the U.S., Canada, Hong Kong, and Taiwan.

Due to the unstable condition of Yahoo, Verizon made a decision to buy the search engine company along with all its other subsidiaries. Altaba, which retained the parts of Yahoo's business Verizon didn't buy, chiefly holdings in other Internet companies, is not involved in the dispute. The lawsuit seeks damages, court costs and other forms of relief that have not been publicly disclosed.

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