US non-profit Code. org has filed a lawsuit against Byju’s subsidiary WhiteHat Jr in a California district court. The litigation is over payment dues related to the coding-for-kids business.
Code. org is an education-related nonprofit organisation that provides computer science curriculum in US school districts. The lawsuit alleges that WhiteHat Jr did not honor the payment schedule agreed upon in their collaboration.
Representative / IANS photo Over the past year, edtech startup Byju’s has been riddled with multiple problems. Now, the company faces a fresh setback. US-based non-profit organisation and educational website Code.
org has sued Byju’s subsidiary WhiteHat Jr . The litigation against the company’s coding-for-kids business was filed in a California district court over payment dues. The court’s website claims that the lawsuit was filed by Code.
org on December 1. What is Code. org Code.
org is an education-related nonprofit organisation. This platform provides K-12 computer science curriculum in school districts in the US. According to the company’s website, its donors include Microsoft , Amazon and Google , among others.
Why the non-profit is suing Whitehat Jr In April 2022, Code. org and Byju’s Whitehat Jr entered into an agreement. As per this collaboration, the former agreed to licence the latter certain limited rights to use its platform and lesson content for WhiteHat’s online tutoring service.
For this contract, WhiteHat Jr agreed to pay Code. org licensing fees totaling $4 million to a four-year schedule. According to a report by TechCrunch, the US platform claims that WhiteHat Jr did not honour the payment schedule and continued to leverage its coding courseware.
As per the legal complaint, WhiteHat Jr paid its 2022 licensing fee. However, earlier this year, the company informed the nonprofit that it would be unable to make the remaining scheduled payments under the four-year deal. Code.
org’s lawyers have argued that the original contract clearly states that even in the event of termination, WhiteHat Jr would not be relieved of its obligation to pay all future licensing payments that are still owed. In this case, the amount is $3 million. In 2020, Byju’s acquired WhiteHat Jr in an all-cash deal worth $300 million.
This marked the edtech startup’s entry into the computer code learning segment with a focus on high school and college students. However Byju’s has been winding down the coding platform since 2022. Explore Your Financial Landscape with Personalized Credit Insights.
FOLLOW US ON SOCIAL MEDIA Visual Stories Previous Here’s how many users top telcos have in India Gadgets 5G smartphones with 10GB or more RAM under Rs 25,000 Gadgets 5G smartphones launching in 2024 Gadgets Top 5 AR/VR headset companies worldwide in Q3 23 Gadgets 5G smartphones with in-display fingerprint sensor Gadgets 10 ‘most popular’ YouTube Shorts in 2023 Gadgets 5G phones with IR blaster under Rs 30,000 Gadgets ISRO’s upcoming missions in 2024 Gadgets Reliance JioTV Premium subscription plans launched: All the details Gadgets 10 5G smartphones under Rs 35,000 Gadgets Next 1 2 3 Elections Chhattisgarh CM News MP CM News Rajasthan Election Results MP Election Result 2023 Chhattisgarh Election Result Mizoram Election Result TOP TRENDS Vijayakant Death News India Covid Cases Israel Embassy Delhi Amrit Bharat Fares IND vs SA Live Score Delhi Covid Cases.
From: toi
URL: https://timesofindia.indiatimes.com/gadgets-news/more-trouble-for-byjus-as-us-company-drags-it-to-court-heres-why/articleshow/106359982.cms