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Yahoo Sues Mforma Alleging Theft Of Trade Secrets

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Yahoo has sued Mforma claiming that seven mobile software engineers and business managers who left Yahoo for Mforma took with them “financial forecasts, business strategy documents and even Yahoo source code for technologies designed to send content efficiently to cell phones”. Yahoo goes on to say that they discussed their plans over instant messenger on company computers, which seems a tad stupid…
Mforma CEO Jonathan Sacks stated that Yahoo was being hypocritical since it was recently sued on trade secret grounds by Nuance Communications…”(Yahoo) is now so desperate over the fact that they are losing several experienced software engineers with years of experience in the mobile industry, that they are now taking the exact opposite legal position…These cutting-edge, mobile-content engineers are leaving because MForma is a company of the future.”
This news corresponds with Mforma touting some new hires it describes as “world class mobile content engineers”, including Michael Temkin, formerly of Yahoo, who joins MFORMA as Vice President for Engineering. According to AP the seven people named in the suit were David Chang, Erik Pavelka, Michael Temkin, Thomas Dignan, Jeff Leung, Christopher Reid and James Liang.
I’m sure there will be more on this…
Rafat: There has to be more than what Sacks is professing up to…it can’t just be that the Yahoo employees showed up at his company’s door. Anyway, if anyone has a copy of the lawsuit, send us an e-mail

Feb 28, 2006 1:03 PM ET

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