A Mexican court ruled against Yahoo last week in a case involving a breach of contract with Worldwide Directories, Yahoo’s former partner. According to the ruling, Yahoo could owe more than $2.7 billion. Yahoo, however, describes the judgment as “nonfinal” and says it plans to appeal.

Plaintiff Carlos Bazan-Canabal also describes the judgment as nonfinal, claiming not all damages have been calculated yet, and estimates the total could reach as high as $3.5 billion. According to Bazan-Canabal, the Mexican court has not yet calculated “moral damages,” the Mexican legal equivalent of American punitive damages. Likewise, the damages were calculated by the court in 2011, and the figures need updated to reflect monetary value at the time when the judgment is actually collected.

Yahoo and Worldwide Directories subsidiary Idea Interactivas launched an online and print directory called Yellow Paginas Utiles in 2003. The companies continued their partnership until 2005, when Yahoo terminated the contract, according to the plaintiffs. At the time the partnership was terminated, the partners had an agreement to expand the service internationally.

Bazan-Canabal told Business Insider he is not willing to settle with Yahoo for a lesser amount.

“I have a judgment that favors me for $2.7 billion,” he said. “It doesn’t make sense to engage with Yahoo.”

Samantha Lile

Samantha Lile is a 2002 Missouri State University graduate of journalism and mass media. She has served as a reporter and editor for various newspapers throughout her journalism career. She made the leap into writing full-time after working for a major financial institution since 2000.

Because of her banking background, Samantha is knowledgeable in finance reporting, but is also strong in commentaries, personal profiles, youth studies, horticulture, history and entertainment-related works.

Samantha lives in Ozark, Mo. with her husband of nine years, four dogs and two cats.

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