Google being sued by government Australia
Posted by Admin @ April 1st, 2007 in Search Engine Marketing
Google is being sued by the Australian Competition and Consumer Commission for ‘misleading and deceptive conduct due to deceptive Adwords ads presented next to Google search results’, reports TechCrunch. 77 does not see much of a threat here, but if Google loses the case, it might mean the end of search advertising as we know it in some countries. The complaint is based on the lay-out of Google search, and specifically how organic search results can not be distinguished from paid search results.
Also, the ACCC alleges that sponsored links naming car dealerships appeared on Google that took users to the website of The Trading Post, a popular weekly classifieds newspaper owned by Australia’s largest telecommunications company Telstra. This news seems hard to believe as Google manually checks all the provided advertisements, and Google Australia spokesperson Rob Shilkin said that Google believes the claims are without merit and will be defended vigorously. If, however, Google is proven to be wrong in this case it is liable to lose some client trust here.
Google successfully defended its case in USA lawsuits on comparable subjects, but the law in Australia is, according to TechCrunch, stronger than United States law. The case will be dealt with on August 21, when we will report back.
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