A federal choose in California handed WordPress leaders a significant victory on September 12, 2025, throwing out the largest accusations in a lawsuit that has shaken the website-building world. The ruling in Case No. 3:24-cv-06917-AMO dismissed severe expenses together with monopoly abuse and extortion in opposition to Automattic Inc. and WordPress co-founder Matt Mullenweg.
Decide Araceli Martínez-Olguín of the USA District Courtroom for the Northern District of California dominated that webhosting firm WPEngine did not show its most damaging claims. The 30-page court docket order eradicated 4 antitrust violations below federal legislation and rejected tried extortion expenses below California state legislation.
Subscribe PPC Land publication ✉️ for comparable tales like this one. Obtain the information day-after-day in your inbox. Freed from advertisements. 10 USD per yr.
“Simply acquired phrase that the court docket dismissed a number of of WP Engine and Silver Lake’s most severe claims — antitrust, monopolization, and extortion have been knocked out!” Mullenweg wrote on his personal blog after receiving information of the September 12 ruling. “These have been by far probably the most important and far-reaching allegations within the case.”
The lawsuit began as a public feud that has cut up the WordPress group. WordPress powers greater than 40% of all web sites on the web, making this authorized battle essential for tens of millions of companies and web site homeowners worldwide.
The difficulty started throughout WordCamp US 2024 in September when Mullenweg used his keynote speech to blast WPEngine publicly. He accused the internet hosting firm of creating $450 million per yr from WordPress whereas solely contributing about $100,000 value of growth work again to the mission.
“Think about you are operating an organization and you may get all the software program totally free, do not spend a single greenback on it, or spend 40 hours per week, name that $100,000 a yr, and you may make $450,000,000 per yr off it, that’d be fairly candy proper?” Mullenweg mentioned throughout his September 20, 2024 speech, in response to earlier reporting from the WordPress community controversy.
The general public criticism rapidly become a authorized warfare. Inside days, each firms have been sending threatening authorized letters to one another. WPEngine claimed Mullenweg and his firm Automattic have been making an attempt to extort tens of millions of {dollars} in licensing charges. Automattic mentioned WPEngine was stealing WordPress emblems to become profitable.
The scenario acquired worse when Mullenweg banned WPEngine from accessing WordPress.org resources on September 25, 2024. This transfer blocked WPEngine clients from getting essential updates and plugins for his or her web sites.
By October 2, 2024, WPEngine filed a massive federal lawsuit with 20 completely different claims in opposition to Automattic and Mullenweg personally. The internet hosting firm accused them of monopoly abuse, extortion, cyber assaults, and unfair enterprise practices.
The case acquired messier when court docket paperwork revealed behind-the-scenes threats. In response to WPEngine’s authorized papers, Automattic’s chief monetary officer Mark Davies warned a WPEngine board member that Automattic would “go to warfare” if WPEngine did not pay licensing charges. Mullenweg allegedly despatched textual content messages threatening a “scorched earth nuclear method” if the corporate did not comply with pay tens of tens of millions of {dollars} inside 24 hours.
However the September 12 court docket ruling discovered that WPEngine could not show probably the most severe expenses. Decide Martínez-Olguín dismissed Rely 12 and Rely 13, which accused Automattic of violating the Sherman Antitrust Act by creating an unlawful monopoly. The court docket additionally threw out Rely 4, which claimed tried extortion below California legislation.
“With out binding authority from WPEngine squarely recognizing a civil declare for tried extortion below California legislation, the Courtroom GRANTS Defendants’ movement to dismiss Rely 4 WITHOUT LEAVE TO AMEND,” the choose wrote in her order.
Nonetheless, many different claims survived and can proceed to trial. The court docket allowed WPEngine to pursue allegations that Automattic interfered with its enterprise relationships and violated California’s Unfair Competitors Legislation. Claims below the Pc Fraud and Abuse Act, which offers with cyber crimes, additionally stay lively.
The choose discovered that WPEngine supplied sufficient proof for Rely 19 below Part 1030(a)(5) of the federal pc crime legislation. This part covers conditions the place somebody damages protected computer systems. The court docket famous that this legislation was created “primarily to deal with the rising downside of pc hacking” however should not grow to be a “sweeping Web-policing mandate.”
WPEngine additionally will get to maintain pursuing Rely 5 below California’s Unfair Competitors Legislation. This legislation prohibits “illegal, unfair or fraudulent enterprise act or observe.” The court docket mentioned WPEngine had sufficient surviving claims to assist this accusation.
The lawsuit revealed the sophisticated approach WordPress is organized. Mullenweg wears a number of hats – he is the CEO of for-profit firm Automattic, personally owns and controls wordpress.org, and has main affect over the non-profit WordPress Basis. He controls 84% of Automattic’s voting energy via particular agreements with different shareholders.
This setup has created ongoing tensions in the WordPress world about who controls WordPress emblems and the way they can be utilized commercially. The authorized combat has already brought about main disruptions, together with 159 employees leaving Automattic via a voluntary buyout program and key developers quitting WordPress projects in protest.
The case additionally entails battles over standard WordPress plugins. In October 2024, WordPress.org took management of WPEngine’s Superior Customized Fields plugin, which is utilized by over 2 million web sites. The plugin was renamed “Safe Customized Fields” and faraway from WPEngine’s management, resulting in WPEngine seeking emergency court orders.
A separate federal choose later ordered Mullenweg to restore WPEngine’s access to WordPress sources in December 2024, discovering that blocking entry brought about hurt to the broader WordPress group.
WPEngine’s remaining claims embody libel and slander expenses in Counts 9, 10, and 11. These defamation claims are being analyzed below California’s anti-SLAPP legislation, which protects folks from lawsuits designed to silence free speech. The court docket should decide if Mullenweg’s statements have been protected speech or went too far.
The internet hosting firm additionally maintains Rely 20 for “unjust enrichment,” claiming Automattic unfairly benefited from WPEngine’s contributions to WordPress. WPEngine says it “invested tons of of tens of millions of {dollars}” and “hundreds of engineering hours” into WordPress growth that benefited the defendants.
For the advertising business, this case highlights dangers when main web site platforms face authorized disputes. The conflict disrupted access to essential tools that advertising groups depend on for consumer web sites and campaigns. Related trademark disputes have affected different WordPress firms, together with a current resolution between Automattic and WP Fusion developers.
The court docket gave WPEngine 21 days from September 12, 2025, to file an amended criticism fixing issues the choose recognized. Nonetheless, the corporate can’t add new accusations, identify further defendants, or embody recent claims. This limits WPEngine’s skill to develop the case additional.
Mullenweg celebrated the ruling as defending open supply software program growth. “This ruling is a big milestone, however our focus stays the identical: constructing a free, open, and thriving WordPress ecosystem and supporting the tens of millions of people that depend on it day-after-day,” he wrote in his weblog submit.
Purchase advertisements on PPC Land. PPC Land has normal and native advert codecs by way of main DSPs and advert platforms like Google Adverts. Through an public sale CPM, you may attain business professionals.
The case continues within the Northern District of California below Decide Martínez-Olguín. Whereas the largest threats to Automattic’s enterprise mannequin are gone, substantial litigation stays forward. The surviving claims may nonetheless lead to important monetary damages and modifications to how WordPress operates.
Authorized consultants notice that trademark and competitors disputes within the expertise sector typically contain advanced technical evaluation and might take years to resolve absolutely. The WordPress case has already set precedents for a way courts view open supply software program governance and business exploitation.
Trade watchers anticipate the remaining claims to concentrate on whether or not Mullenweg’s actions crossed authorized strains when making an attempt to guard WordPress pursuits. The case may in the end reshape how open supply tasks stability group wants with business relationships in an ecosystem value billions of {dollars} yearly.
Subscribe PPC Land publication ✉️ for comparable tales like this one. Obtain the information day-after-day in your inbox. Freed from advertisements. 10 USD per yr.
Timeline
- September 20, 2024: Matt Mullenweg criticizes WP Engine throughout WordCamp US keynote speech
- September 23, 2024: Both companies exchange threatening legal letters over trademark disputes
- September 25, 2024: Mullenweg blocks WPEngine access to WordPress.org resources
- October 2, 2024: WPEngine files 20-count federal lawsuit against Automattic and Mullenweg
- October 5, 2024: Automattic offers buyout package, 159 employees leave company
- October 13, 2024: Key WordPress developer quits project citing disagreements with leadership
- October 18, 2024: WPEngine requests emergency court orders to stop alleged harassment
- December 13, 2024: Different federal judge orders restoration of WPEngine’s WordPress access
- September 12, 2025: Courtroom dismisses main antitrust and extortion claims however permits different accusations to proceed
Subscribe PPC Land publication ✉️ for comparable tales like this one. Obtain the information day-after-day in your inbox. Freed from advertisements. 10 USD per yr.
Abstract
Who: Federal Decide Araceli Martínez-Olguín dominated in favor of WordPress co-founder Matt Mullenweg and his firm Automattic Inc. in opposition to webhosting supplier WPEngine, Inc. in a significant lawsuit.
What: The court docket dismissed probably the most severe claims together with federal antitrust violations for monopoly abuse and California extortion expenses, whereas permitting different enterprise interference and unfair competitors claims to proceed to trial.
When: The ruling was issued on September 12, 2025, in a case that began with WPEngine’s lawsuit filed on October 2, 2024, following public disputes that started in September 2024.
The place: The choice got here from the USA District Courtroom for the Northern District of California in Case No. 3:24-cv-06917-AMO.
Why: The choose discovered WPEngine failed to supply ample proof for antitrust and extortion claims, however decided different allegations about enterprise interference and unfair practices had sufficient benefit to proceed the authorized battle.
Source link