Legal News

Netflix Sues Yahoo CIO Michael Kail for Alleged Kickbacks
Download PDF
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)

business news, netflix, yahoo, legal news

Summary: Yahoo CIO Michael Kail has been sued by Netflix, his former employer, for alleged kickbacks. 

Yahoo Inc. CIO Michael Kail is being sued by Netflix Inc. for alleged kickbacks he received from IT vendors while employed by the video company, according to the Silicon Valley Business Journal.


While at Netflix, Kail worked as the vice president of IT operations. He left the company in August of 2014 to join Yahoo. When he joined Yahoo he became the CIO as a member of the data and infrastructure team. He also holds the title of senior VP of infrastructure at Yahoo.

Yahoo has not commented on the lawsuit. Kail also declined to comment on the lawsuit.

To read more about Yahoo, click here.

Get JD Journal in Your Mail

Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!

The lawsuit was filed Monday in Santa Clara Superior Court. Netflix claims that Kail helped the company sign its contracts with IT companies NetEnrich and Vistara IT. Netflix alleges that the companies paid commissions up to 15 percent of the amount invoiced to Netflix to a consulting company run by Kail. The consulting company is Unix Mercenary LLC, which is also named as a defendant in the lawsuit.

In the lawsuit, Netflix reported that it paid the two companies $3.7 million, which equates to $500,000 being diverted by Kail. Neither company commented on the lawsuit.

According to the lawsuit, Netflix reportedly found emails that indicate that “on information and belief, after Kail approved invoice payments by Netflix to NetEnrich and Vistara for various contracted products and/or services, [the companies]” paid the false “agent” company directly.

To read more about Netflix, click here.

Another email was discovered that was sent to NetEnrich by Kail in which he referenced a payment to Unix Mercenary. The email said, “Received, but it was sent to Netflix, not my home address. Please always use the latter.”

Netflix also claims that Kail asked an employee from DocuSign to switch his account with Netflix to a personal account so he can process contract signatures.

The lawsuit has alleged conversion, breach of fiduciary duty, duty of loyalty, unjust enrichment, fraudulent concealment, constructive fraud and violation of the California business code.

Will Netflix win this lawsuit? Use our poll to share your thoughts.

Can Netflix win this case?

View Results

Loading ... Loading ...


Interesting Legal Sites You May Like




Search Now

Complex Commercial Disputes Associate Attorney

USA-WI-Green Bay

Green Bay office of an AmLaw firm seeks Complex Commercial Disputes Associate Attorney with 1 year o...

Apply Now

Patent Agent with 1 year of chemistry experience

USA-CA-Palo Alto

Palo Alto office of our client seeks entry-level patent agent with 1 year of experience. The candida...

Apply Now




Law Office of Dmitriy Borshchak is actively seeking a qualified Paralegal to join their team in Colu...

Apply now



Established law firm seeking an experienced civil / plaintiff litigation paralegal capable of answer...

Apply now

Contract Attorney

USA-TX-San Antonio

Business litigation and transaction firm located in Downtown San Antonio is seeking a contract attor...

Apply now

Legal Assistant / Paralegal


Come and join the team of Farmer Farmer & Brown Law Firm! We are looking for an experienced bilingua...

Apply now


To Top