eBay has released a copy of its complaint against Craigslist (document above). eBay lodged the lawsuit last week in the Delaware Court of Chancery claiming that Craigslist executives took actions that unfairly diluted eBay’s economic interest.
From the document itself, the tipping point would appear to be eBay’s move to offer Kijiji, its classifieds service in the United States. Craigslist viewed Kijiji as a competitive activity that canceled some shareholder rights held by eBay since it became a Criagslist shareholder in 2004. The short story is that eBay believes Craigslist went to far when enacting the competitive activity clause.