Mark Zuckerberg the founder of Facebook, won a legal battle over his former Harvard classmates Tyler and Cameron Winklevoss over the stealing of the idea of the founding of the world's most popular social networking website.
World's most popular 'Social Network'
The Winklevosses had asked the court to revisit a $65 million settlement they signed with Zuckerberg in 2008. They claimed that Zuckerberg had stole their idea to program a social networking site, called ConnectU, for which he was hired by them in 2003.
A federal court judge told the twins to accept their $65 million settlement with Facebook and not litigate for a larger amount. The Winklevoss brothers argued that their settlement with Facebook was unfair as the company had hidden information with them during the talks and that Zuckerberg did not disclose the accurate valuation of the company. Facebook had raised an excess of $1 billion from Digital Sky Technologies (DST) and Goldman Sachs valued the company at over $50 billion.
Chief Judge Alex Kozinski of the U.S. Court of Appeals for the Ninth District ruled, "The Winklevosses are not the first parties bested by a competitor who then seek to gain through litigation what they were unable to achieve in the marketplace and the courts might have obliged, had the Winklevosses not settled their dispute and signed a release of all claims against Facebook.” he also wrote,”For whatever reason, they [the Winklevosses] now want to back out. Like the district court, we see no basis for allowing them to do so. At some point, litigation must come to an end. That point has now been reached."
Facebook’s deputy general counsel, Colin Stretch said, “We appreciate the Ninth Circuit's careful consideration of this case and are pleased the court has ruled in Facebook's favor."
An attorney for the brothers, Jerome Falk Jr., said on Monday his clients would seek a rehearing before a larger,group of 9th Circuit judges.
Published Date: Apr 12, 2011 03:28 pm | Updated Date: Apr 12, 2011 03:28 pm