Publishing group Reed Elsevier Plc has filed suit against Microsoft Corp and its internet travel spin-off Expedia Inc, alleging breach of contract over a 1998 agreement involving Reed Elsevier’s Cahners Travel Group unit. Under the contract, Cahners exclusively provided hotel-related information for Expedia.com. The lawsuit, which was filed in US District Court in New Jersey, seeks unspecified monetary and punitive damages.
In the suit, Cahners accuses Microsoft and Expedia of violating Cahners’ exclusive rights with respect to providing hotel directory advertising sales support worldwide for the web site. The suit also alleges conversion and misappropriation of Cahners’ proprietary hotel database, unfair competition, breach of implied covenant of good faith and fair dealing, and interference with business relationships.
In addition to damages, the suit seeks a permanent injunction requiring Microsoft and Expedia to comply with the agreement; a permanent injunction prohibiting the two companies from selling or competing with Cahners in the sale of hotel directory advertising; a permanent injunction prohibiting the two from utilizing the hotel database in question; rescission of the original agreement; return to Cahners of all payments made and information provided under the agreement; and costs and attorneys fees.
