In early history, the two villages had clashed at this very spot one more time. However, back then it was a betrayal of an alliance. Thus, that place contained many unneeded memories and histories.
The conflict between the two villages came along with the choice of a new Tsuchikage. The one chosen, Kitsuchi, got into an arguing with the Mizukage, Mei Terumi, over how the re-occupied Tailed Beasts should be shared between the villages. The conflict later turned into a short war between the two villages, with the Battle of Yosuga Pass putting a final end to it with Iwagakures victory.
The battle started with Kirigakure gaining the upper hand. Early in the battle, Iwagakure lost their supposed leader and fell into a gap o panic. When their forces were reduced to more than half of their original strength, the young chunin Genzo Netsuishi took up the mantle of leading the remaining Iwagakure shinobi. Along with this, one of the leaders for the Kirigakure legion, Mimi Terumi, rallied their troops to finish of the remaining Iwagakure legions. Taking advantage of this, Genzo Netsuishi was able to turn the tide and ultimately win the battle.
During the last clashes, Genzo faced of against Mimi Terumi at a cliff a little bit away from the actual battle. The clash between the villages respective most promising students ended with Genzos victory, though he spared Mimis life.