Files Suit Against AOL Subsidiary over Ad Deal

Online employment site has
filed suit against Digital City
over the AOL property’s cancellation of an
ad agreement after it made an exclusive deal with competitor,

Information about the lawsuit came to light in SEC documents filed by TMP Worldwide (TMPW),’s parent. According to the documents,’s lawsuit was filed on Dec. 20, 1999 in Fairfax, Va. (HOTJ) wouldn’t comment on the litigation.

The suit asks that Digital City be required to meet the terms of the
advertising agreement, which was originally set to end in November of 2000. also asked the court to keep Digital City from entering into
exclusive agreements with its competitors, according to the TMP Worldwide (TMPW)

On December 30, filed a motion for temporary and
permanent injunction, which would keep Digital City from cancelling the agreement. That injunction will be heard on Jan. 31.

TMP has been asked by the court to provide documents relevant to the matter.

The trouble arose when America Online (AOL) and TMP Worldwide reached a content and marketing agreement on Dec. 1 that called for to be
the exclusive provider of career search services over seven AOL brands,
including Digital City. As part of that deal, TMP agreed to pay $100
million over the length of the four-year contract.

Digital City, however, had already made a deal with for the
jobs site to buy ads and promote other related items across several AOL

TMP Worldwide said in the filing it didn’t believe the lawsuit would have
a negative effect on its ability to roll out its content on the AOL sites.

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