BUFFALO, N.Y. — Facebook will try to get a New York man's claim for majority ownership of the website thrown out of court, attorneys for the social networking site said Tuesday.
A complaint by Paul Ceglia of Wellsville claims that a 7-year-old contract he signed with Facebook founder Mark Zuckerberg for software development entitles him to 84 percent of the company.
"No one's ever said it's not his signature or it's a fake contract," Ceglia attorney Terrence Connors said during a federal court hearing in Buffalo. Moreover, a lawyer for Facebook, Lisa Simpson, said she was "unsure" whether Zuckerberg had signed the contract Ceglia claims that he did.
“Whether he signed this piece of paper, we’re unsure at this moment,” Simpson told the US District Judge Richard Arcara.
Connors said the two men met when Zuckerberg, then a Harvard University freshman, responded to an ad Ceglia had posted on Craigslist looking for someone to develop software for a street-mapping database he was creating.
Zuckerberg offered to take on Ceglia's project for $1,000, Connors said, and then told Ceglia about a project of his own, a kind of online yearbook for Harvard students that he wanted to expand.
Ceglia said he gave Zuckerberg another $1,000 to continue work on Zuckerberg's "The Face Book," with the condition that Ceglia would own a 50 percent interest in the software and business if it expanded. The percentage grew to 84 percent based on a clause that added a percentage point for each day the project went past its Jan. 1, 2004, due date.
Zuckerberg's undertaking "at that time was a fledgling project," Connors said. "Who knew it would turn into what it has turned into today."
As Bloomberg observes, Facebook's success raises one of the key questions that Ceglia must answer in order to win: "Where have you been?"
“The first thing that comes to mind is, where have you been all this time?” litigator Bryan Freedman told Bloomberg.
Facebook recently celebrated its 500 millionth user, according to Connors.
At the center of Ceglia's claim is a two-page "work for hire" contract bearing the names of both men.
Facebook attorney Lisa Simpson acknowledged on Tuesday that Zuckerberg and Ceglia had worked together on the street-mapping website but said the contract submitted by Ceglia was full of "inconsistencies, undefined terms and things that don't make sense."
"We have serious questions about the authenticity of this contract," Simpson told U.S. District Judge Richard Arcara. "What the contract asserts is there is a relationship about Facebook and there isn't one."
Ceglia's complaint was filed in state Supreme Court in Allegany County on June 30 and transferred to federal court at Facebook's request. A state judge's temporary order restraining Facebook from transferring assets was frozen by the federal judge last week. Both sides agreed Tuesday to let it expire July 23.
The attorneys also agreed to come up with a filing schedule for the case by Aug. 6, after Ceglia's attorneys indicated they may file a newer version of their complaint and Facebook attorneys said they planned to file a motion to dismiss it altogether.
Ceglia was the subject of a temporary restraining order issued by New York Attorney General Andrew Cuomo in December 2009, after Cuomo said a wood-pellet fuel company operated by Ceglia and his wife took more than $200,000 from consumers and failed to deliver the pellets or refunds.
A telephone listing for Allegany Pellets was not in service Tuesday.
In 2008, Palo Alto, Calif.-based Facebook settled a lawsuit over its origins brought by three of Zuckerberg's former Harvard classmates, who claimed he turned their idea into Facebook after they hired him to work on a website that later became ConnectU.
Our 2024 Coverage Needs You
It's Another Trump-Biden Showdown — And We Need Your Help
The Future Of Democracy Is At Stake
Our 2024 Coverage Needs You
Your Loyalty Means The World To Us
As Americans head to the polls in 2024, the very future of our country is at stake. At HuffPost, we believe that a free press is critical to creating well-informed voters. That's why our journalism is free for everyone, even though other newsrooms retreat behind expensive paywalls.
Our journalists will continue to cover the twists and turns during this historic presidential election. With your help, we'll bring you hard-hitting investigations, well-researched analysis and timely takes you can't find elsewhere. Reporting in this current political climate is a responsibility we do not take lightly, and we thank you for your support.
Contribute as little as $2 to keep our news free for all.
Can't afford to donate? Support HuffPost by creating a free account and log in while you read.
The 2024 election is heating up, and women's rights, health care, voting rights, and the very future of democracy are all at stake. Donald Trump will face Joe Biden in the most consequential vote of our time. And HuffPost will be there, covering every twist and turn. America's future hangs in the balance. Would you consider contributing to support our journalism and keep it free for all during this critical season?
HuffPost believes news should be accessible to everyone, regardless of their ability to pay for it. We rely on readers like you to help fund our work. Any contribution you can make — even as little as $2 — goes directly toward supporting the impactful journalism that we will continue to produce this year. Thank you for being part of our story.
Can't afford to donate? Support HuffPost by creating a free account and log in while you read.
It's official: Donald Trump will face Joe Biden this fall in the presidential election. As we face the most consequential presidential election of our time, HuffPost is committed to bringing you up-to-date, accurate news about the 2024 race. While other outlets have retreated behind paywalls, you can trust our news will stay free.
But we can't do it without your help. Reader funding is one of the key ways we support our newsroom. Would you consider making a donation to help fund our news during this critical time? Your contributions are vital to supporting a free press.
Contribute as little as $2 to keep our journalism free and accessible to all.
Can't afford to donate? Support HuffPost by creating a free account and log in while you read.
As Americans head to the polls in 2024, the very future of our country is at stake. At HuffPost, we believe that a free press is critical to creating well-informed voters. That's why our journalism is free for everyone, even though other newsrooms retreat behind expensive paywalls.
Our journalists will continue to cover the twists and turns during this historic presidential election. With your help, we'll bring you hard-hitting investigations, well-researched analysis and timely takes you can't find elsewhere. Reporting in this current political climate is a responsibility we do not take lightly, and we thank you for your support.
Contribute as little as $2 to keep our news free for all.
Can't afford to donate? Support HuffPost by creating a free account and log in while you read.
Dear HuffPost Reader
Thank you for your past contribution to HuffPost. We are sincerely grateful for readers like you who help us ensure that we can keep our journalism free for everyone.
The stakes are high this year, and our 2024 coverage could use continued support. Would you consider becoming a regular HuffPost contributor?
Dear HuffPost Reader
Thank you for your past contribution to HuffPost. We are sincerely grateful for readers like you who help us ensure that we can keep our journalism free for everyone.
The stakes are high this year, and our 2024 coverage could use continued support. If circumstances have changed since you last contributed, we hope you'll consider contributing to HuffPost once more.
Support HuffPostAlready contributed? Log in to hide these messages.