Saturday, May 28, 2011

PayPal has Sued Google Over the Mountain View Internet Juggernaut's Google Wallet Mobile Payment Service.

PayPal, the payment service owned by San Jose online auction powerhouse eBay (EBAY), has sued Google over the Mountain View Internet juggernaut's Google Wallet mobile payment service.

Google, you might recall, announced Thursday that the service, which allows Nexus S 4G owners to pay for goods with their phones, will be tested this summer in San Francisco and New York.

According to Bloomberg News, the state suit filed in San Jose contends that Google violated PayPal's trade-secret rights by hiring away Osama Bedier, who now is in charge of Google's retail payment efforts. The suit also contends that Stephanie Tilenius, another former PayPal executive now at Google, improperly recruited Bedier.

As for Google, it replied that it hasn't stolen PayPal's trade secrets and said that Californians have the legal right to "use their knowledge and expertise to seek better employment opportunities," according to a statement released to The Associated Press.

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