SUNNYVALE, Calif. (AP) -- Yahoo Inc. said Thursday that a court in Mexico granted the company's appeal and reversed a ruling that could have cost it $2.75 billion.
The court had decided against Yahoo and Yahoo Mexico last year in a breach of contract lawsuit filed by two Mexican companies, Worldwide Directories S.A. de C.V and Ideas Interactivas S.A. de C.V.
The companies alleged breach of contract, breach of promise and lost profits associated with a yellow pages listings service. Yahoo said the claims were without merit and appealed the case.
The Sunnyvale, Calif.-based company said Thursday that the appellate decision overturned all monetary awards against Yahoo Inc. and reduced the award against Yahoo Mexico to $172,500.
Yahoo Mexico was also awarded $2.6 million in the original judgment for certain payments it was due, which was confirmed with the appellate decision. The plaintiffs may appeal this decision.
Yahoo rose 15 cents to $26.73 in after-hours trading.
- Company Legal & Law Matters