Skype recently ripped up an agreement allowing either side to take action beginning March. But, according to eBay, Joltid, actually registered in the British Virgin Islands, says that’s a breach of terms and tried to end the licensing relationship. So eBay has asked the High Court to rule the termination attempt “invalid” and declare Skype is not in breach. The case was scheduled to be heard at the High Court on Friday.

eBay’s release says: “Skype strongly refutes those allegations and is confident of its legal position.” But its SEC filing shows how worried it really is - to put it baldly, Skype would be finished: “As with any litigation, there is the possibility of an adverse result if the matter is not resolved through negotiation. In such event, Skype would be adversely affected and the continued operation of Skype’s business as currently conducted would likely not be possible.”