Power.com Sues Facebook for Anti-competitive Practices

By Evan Mix

Published on July 14, 2009

In a new filing, the hugely popular social networking website Facebook faces allegations of anticompetitive business practices. Facebook is accused by social network aggregator Power.com of creating a monopoly, restraining trade, and unfair competition.

Power offers a service that allows users to update multiple social networks simultaneously. Six months ago, Facebook sued Power for fraud, unlawful competition, and trademark and copyright infringement. The aggregator was accused of violating the security of Facebook users' data.

The legal dispute arises from an incident in which Facebook attempted to change its terms of service to block third-party services like Power from accessing Facebook's data. Facebook users complained that the company was attempting to take ownership of their information, and the policy was ultimately abandoned.

Power's lawsuit seeks unspecified compensation for damages and costs, as well as a court order banning Facebook from engaging in anti-competitive practices. Facebook has criticized the case and declared the intention to fight it in court.

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