Expedia Hit With Shareholder Suit Over TripAdvisor Spinoff

Law360, New York (September 25, 2013, 6:16 PM EDT) -- A proposed class of Expedia Inc. shareholders launched a suit against the company and its directors in Washington federal court Wednesday, claiming they were intentionally misled about the benefits of the travel website's 2011 spinoff of TripAdvisor Inc.

At the time of the spinoff announcement, Expedia and its executives failed to mention that TripAdvisor — a user-powered website that reviews travel-related content — would stop directing Web traffic to Expedia after early 2013, the suit said. The phase-out of the agreement with TripAdvisor was only discovered...
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