BLOOMBERG. Yahoo! Inc., the second most popular U.S. search engine, will appeal a decision by a Belgian court, which ruled against the company for withholding account information that might have assisted prosecutors.
Yahoo wants prosecutors to follow an international legal process to obtain such information, spokeswoman Tracy Schmaler said an e-mailed statement today. Yahoo was fined 55,000 euros ($69,000) in a case over data that might have helped prosecutors identify suspects in a criminal investigation, Belga news agency reported today. Schmaler declined to give details of the ruling.
“The United States and Belgium have a formal international treaty, which the prosecutor should have followed,’” Schmaler said. “This decision could have negative implications for all foreign companies.”
Yahoo and other Internet companies face differing rules regarding user information around the world. Yahoo, along with competitors Google Inc. and Microsoft Corp., drafted global guidelines in October to shield online users’ right to free speech and privacy from government interference.
The law cited by the Belgian court shouldn’t apply because Yahoo is a foreign company and doesn’t have operations in the country, Schmaler said. The customer information in question isn’t kept in Belgium, she said.
“We have a legal and policy basis for not disclosing information in this type of case until the recognized international legal process is followed,” Schmaler said. “We have raised this issue with the U.S. government.”
Yahoo fell 65 cents, or 4.9 percent, to $12.58 at 4 p.m. New York time on the Nasdaq Stock Market. The shares have climbed 3.1 percent this year.