Yahoo 2013 Annual Report Download - page 25

• stringent local labor laws and regulations;
• longer payment cycles;
• credit risk and higher levels of payment fraud;
• profit repatriation restrictions and foreign currency exchange restrictions;
• political or social unrest, economic instability, repression, or human rights issues;
• geopolitical events, including natural disasters, acts of war and terrorism;
• import or export regulations;
• compliance with U.S. laws such as the Foreign Corrupt Practices Act, and local laws prohibiting bribery and
corrupt payments to government officials;
• antitrust and competition regulations;
• potentially adverse tax developments;
• seasonal volatility in business activity and local economic conditions;
• economic uncertainties relating to volatility in emerging markets and global economic uncertainty;
• laws, regulations, licensing requirements, and business practices that favor local competitors or prohibit
foreign ownership or investments;
• different, uncertain or more stringent user protection, content, data protection, privacy, intellectual property
and other laws; and
• risks related to other government regulation, required compliance with local laws or lack of legal precedent.
We are subject to numerous and sometimes conflicting U.S. and foreign laws and regulations which increase our
cost of doing business. Violations of these complex laws and regulations that apply to our international
operations could result in damage awards, fines, criminal actions, sanctions, or penalties against us, our officers
or our employees, prohibitions on the conduct of our business and our ability to offer products and services, and
damage to our reputation. Although we have implemented policies and procedures designed to promote
compliance with these laws, there can be no assurance that our employees, contractors, or agents will not violate
our policies. These risks inherent in our international operations and expansion increase our costs of doing
business internationally and could result in harm to our business, operating results, and financial condition.
We may be subject to legal liability associated with providing online services or content.
We host and provide a wide variety of services and technology products that enable and encourage individuals
and businesses to exchange information; upload or otherwise generate photos, videos, text, and other content;
advertise products and services; conduct business; and engage in various online activities both domestically and
internationally. The law relating to the liability of providers of online services and products for activities of their
users is currently unsettled both within the U.S. and internationally. As a publisher and producer of original
content, we may be subject to claims such as copyright, libel, defamation or improper use of publicity rights, as
well as other infringement claims such as plagiarism. Claims have been threatened and brought against us for
defamation, negligence, breaches of contract, plagiarism, copyright and trademark infringement, unfair
competition, unlawful activity, tort, including personal injury, fraud, or other theories based on the nature and
content of information which we publish or to which we provide links or that may be posted online or generated
by us or by third parties, including our users. In addition, we have been and may again in the future be subject to
domestic or international actions alleging that certain content we have generated or third-party content that we
have made available within our services violates laws in domestic and international jurisdictions. We arrange for
the distribution of third-party advertisements to third-party publishers and advertising networks, and we offer
third-party products, services, or content, such as stock quotes and trading information, under the Yahoo brand or
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