eBay Fails to Dismiss Suit
On Friday, U.S. District Judge Edward Davila refused eBay’s (NASDAQ:EBAY) request for dismissing a civil suit by the U.S. Department of Justice, according to Reuters. At the same time, the judge did grant the company’s motion to dismiss the state of California’s parallel lawsuit.
The suit is regarding an alleged agreement between eBay and Intuit (NASDAQ:INTU) to refrain from recruiting employees from each other. In 2006, an informal “handshake agreement” occurred between the two companies.
The agreement was between Meg Whitman, who was the CEO at the time and Scott Cook, the founder of Intuit, who was also serving on eBay’s board at the time. It came about because Cook complained of eBay stealing away Intuit’s employees.