Google sued over of excessive AdWords Advertising Fees
Google Inc. (GOOG) is being sued over claims that it overcharged AdWords advertisers.
The class-action suit, filed in August 2005 in a Santa Clara, California courthouse accuses Google of charging in excess of advertisers' "daily budgets," under which Google allows an advertiser to set caps on daily spending levels.
Lawyers for the Google AdWords lawsuit would not comment. The new AdWords lawsuit seeks monetary damages and is filed on behalf of CLRB Hanson Industries LLC in Minnesota and other Google AdWords Sponsored Search advertisers.
Google said the allegations have no merit..."The claims are without merit and we will defend against it vigorously," said Google spokesman Steve Langdon. The AdWords lawsuit claims Google "engaged in conduct which injured members of the general public, including the plaintiffs" and said it was "impossible ... to determine the exact amount of the injury without a detailed review of Google's books and records."
It also accuses Google, based in Mountain View, California, of disputing complaints from advertisers regarding the company's pricing practices and for not reimbursing what the suit called "unlawful" charges. Google, the biggest player in the global Internet advertising market, gets the vast majority of its revenue from Web search advertising. This new Google AdWords lawsuit makes no mention of the hundreds of active AdWords lawsuits concerning Trademark infringements and the lack of editorial controls involved with Google sponsored search.
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