Expedia 2012 Annual Report Download - page 33

scope of the proprietary rights of others. These proceedings might result in substantial costs and diversion of
resources and management attention.
We currently license from third parties some of the technologies, content and brands incorporated into our
websites. As we continue to introduce new services that incorporate new technologies, content and brands, we
may be required to license additional technology, content or brands. We cannot be sure that such technology,
content and brand licenses will be available on commercially reasonable terms, if at all.
Part I. Item 1B. Unresolved Staff Comments
None.
Part I. Item 2. Properties
We lease approximately 1.6 million square feet of office space worldwide, pursuant to leases with
expiration dates through July 2021.
We lease approximately 449,000 square feet for our headquarters in Bellevue, Washington, pursuant to
leases with expiration dates through October 2018. We also lease approximately 393,000 square feet of office
space for our domestic operations in various cities and locations in Arizona, California, Colorado, Florida,
Hawaii, Idaho, Illinois, Massachusetts, Michigan, Missouri, Nevada, New York, Texas and Washington DC,
pursuant to leases with expiration dates through January 2018.
We also lease approximately 766,000 square feet of office space for our international operations in various
cities and locations, including Argentina, Australia, Belgium, Brazil, Canada, China, Czech Republic, Denmark,
France, Germany, Greece, India, Indonesia, Ireland, Italy, Japan, Malaysia, Mexico, the Netherlands, New
Zealand, Philippines, Singapore, South Africa, South Korea, Spain, Sweden, Switzerland, Thailand, Turkey,
United Arab Emirates, the United Kingdom and Vietnam, pursuant to leases with expiration dates through July
2021.
Part I. Item 3. Legal Proceedings
In the ordinary course of business, Expedia and its subsidiaries are parties to legal proceedings and claims
involving property, personal injury, contract, alleged infringement of third-party intellectual property rights and
other claims. The amounts that may be recovered in such matters may be subject to insurance coverage.
Rules of the SEC require the description of material pending legal proceedings, other than ordinary, routine
litigation incident to the registrant’s business, and advise that proceedings ordinarily need not be described if
they primarily involve damages claims for amounts (exclusive of interest and costs) not individually exceeding
10% of the current assets of the registrant and its subsidiaries on a consolidated basis. In the judgment of
management, none of the pending litigation matters that the Company and its subsidiaries are defending,
including those described below, involves or is likely to involve amounts of that magnitude. The litigation
matters described below involve issues or claims that may be of particular interest to our stockholders, regardless
of whether any of these matters may be material to our financial position or results of operations based upon the
standard set forth in the SEC’s rules.
Class Action Litigation
Consumer Case against Expedia Canada. On June 26, 2009, a class action suit against Expedia Canada
Corporation was filed in Ontario, Canada, alleging that disclosures related to “taxes and service fees” were
deceptive. See Magill v. Expedia Canada Corporation and Expedia.ca, CV-09-381919-00LP (Ontario Superior
Court of Justice). The complaint asserts claims under the Competition Act and Consumer Protection Act as well
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