Automattic files counterclaims against WP Engine in WordPress lawsuit, alleging trademark misuse

On Friday, WordPress-maker Automattic filed its counterclaims successful the lawsuit initiated by hosting institution WP Engine successful October 2024, which had accused Automattic and its CEO Matt Mullenweg of defamation and maltreatment of power. Automattic believes that WP Engine has been abusing the WordPress trademark and has engaged successful deceptive selling practices, without decently giving backmost to the unfastened root community.

As a result, Automattic took enactment against WP Engine past year, which included calling the hosting supplier a “cancer to WordPress” and sending it a cease-and-desist missive claiming WP Engine had breached its trademark usage rules. As the conflict continued, Automattic banned WP Engine from accessing WordPress.org resources and attempted to negociate a licensing woody with the host. Automattic says that the institution strung it along, negotiating successful atrocious faith.

WP Engine yet sued Automattic, portraying itself arsenic the unfortunate of Mullenweg’s attacks. But successful Automattic’s telling of events, aft Silver Lake invested $250 million, WP Engine shifted from just usage to trademark infringement by calling itself “The WordPress Technology Company” and letting its partners notation to it arsenic “WordPress Engine.”

Automattic notes that the hosting institution besides launched products with names similar “Core WordPress” and “Headless WordPress,” and claimed to its customers that it had committed 5% of its resources to enactment the WordPress ecosystem. Automattic says it ne'er kept those promises.

In addition, Automattic alleges that the trademark infringement was deliberate and it lone “pretended to prosecute successful licensing discussions, but really delayed and negotiated successful atrocious faith,” the counterclaims filing states. Automattic believes this is due to the fact that paying licensing fees would interaction WP Engine’s net and valuation, and therefore, Silver Lake’s expected return.

It besides alleges that Silver Lake was seeking to offload WP Engine astatine a $2 cardinal valuation, but couldn’t find a buyer. Notably, the filing says that this included “overtures to Automattic.”

Automattic besides claims that WP Engine degraded the user acquisition and merchandise prime successful an effort to chopped costs during this clip by removing indispensable features.