Google Fraud Settlement Gets OK
July 28, 2006 — (WEB HOST INDUSTRY REVIEW) — A proposed settlement of $90 million in the lawsuit filed against search giant Google by advertisers claiming they paid for illegitimate clicks was reportedly approved this week by Miller County, Arkansas Circuit Judge Joe Griffin.
Plaintiffs in the suit charged Google with being a passive participant in click fraud perpetrated through its AdWord network, racking up repeated clicks and large bills on paid-for links placed by advertisers in the company’s network.
According to an AP report, Judge Griffin said Google’s settlement was fair, reasonable and adequate.
However, more than 70 objections to the settlement were reportedly raised by Google advertisers, many of whom said they were small advertisers who could not afford the costs of finding out how many of the clicks on their ads were illegitimate.
Google’s settlement will see the company hand out advertising credits worth $4.50 for every $1,000 spent on advertising during the past four and a half years. Plaintiffs will not be paid in cash.
Some of the plaintiffs in the case said Google was failing to provide a reasonable effort to combat click fraud.
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