Winklevoss brothers lose Facebook appeal

Bid for new compensation package thrown out by US court

Tags: Facebook IncorporationSocial networking
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Winklevoss brothers lose Facebook appeal The Winklevoss twins have had their bid for greater compensation from Facebook overturned. (ITP Images)
By  Mark Sutton Published  April 12, 2011

A US court has ruled against the Winklevoss twins, who were suing Facebook for a larger compensation package after claiming that the idea for the site had been stolen from them.

The US Court of Appeals decided that Cameron and Tyler Winklevoss must accept the cash and stock settlement of $65m that they had previously agreed with Facebook in 2008.

The twins had claimed that the settlement was unfair as Facebook concealed information from them during talks to set the initial compensation package.

The Winklevoss twins have accused Mark Zuckerberg, founder of Facebook, of stealing the idea for the social networking site, although Facebook denies the allegations.

US Circuit Court of Appeals Chief Judge Alex Kozinski wrote in a unanimous opinion: "The Winklevosses are not the first parties bested by a competitor who then seek to gain through litigation what they were unable to achieve in the marketplace.

"They made a deal that appears quite favourable in light of recent market activity. At some point, litigation must come to an end. That point has now been reached."

The twins have announced their intention to appeal the ruling.

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