[greenyoda]

They're apparently being sued over the crowdsourced map content, not the code. The article says:

"The claimant in the lawsuit is Roy Gorodish, an Israeli accountant who participated in Freemap Israel, an 'open-source' project to map the country using free software called Roadmap 1. Gorodish, represented by attorney Yitzhak Aviram, says in the lawsuit that Waze's maps were built by daily updates by the community, not solely by Waze programmers. ...

Gorodish says that when Freemap started, Shabtai, Shinar and Levine gave community members a document saying that the project was owned by the community. Later, when Waze was founded, the three men unilaterally changed the terms of the agreement in what amounts to intellectual property theft and copyright infringement, he says."

If they violated the GPL on the code, they could face a separate lawsuit from the code's developers.