Feeds

MySpace founder loses court case over News Corp sale

But vows to appeal

Security for virtualized datacentres

A judge has dismissed MySpace founder Brad Greenspan's claims that the sale price of the social networking site to News Corporation was too low. Greenspan said he will appeal.

Greenspan founded MySpace and is a former chief executive of its parent company Intermix. He filed a suit in February claiming that News Corp's $580m purchase of Intermix did not value the business highly enough, claiming that the company's officers acted out of a desire for personal gain above the interests of the shareholders.

Superior Court judge Carolyn Kuhl dismissed Greenspan's claims, saying that the acquisition was legal and the decision taken by Intermix board members was legitimately taken, according to Fox Interactive, the division of News Corp which looks after MySpace.

"News Corporation and Fox Interactive Media feel vindicated by Judge Kuhl's ruling," said Mike Angus, Fox Interactive Media's general counsel in a statement.

Last week Greenspan published a demand that an investigation be conducted into the sale by the US financial regulator the Securities and Exchange Commission, the United States Department of Justice, and the United States Senate Committee on Finance.

"News Corp's valuation has increased by $12bn since the transaction occurred just one year ago, and there are several independent analysts today that agree that MySpace is worth tens of billions of dollars,” Greenspan said in that statement.

See: Greenspan's claims

Copyright © 2006, OUT-LAW.com

OUT-LAW.COM is part of international law firm Pinsent Masons.

Choosing a cloud hosting partner with confidence

More from The Register

next story
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.