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Google Loses The Class Action Lawsuit From AdWords Advertisers

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Online AdWords advertisers won the appeal of a ruling that barred them from filing a suit as a group against Google Inc. The lawsuit was about the ads that had appeared on the error pages and so known ‘parked domains’ of the websites that had not been ready by that time.

The subject of the claim was that Google has charged them for ads appeared in the date range July 2004 – March 2008. Google didn’t break out technicalities of the platform and at the same time company had been growing in annual sales.

The U.S. Court of Appeals had rejected the ruling back in 2012 in San Francisco. The higher court came to the conclusion that the lower court was incorrect in the decision to refuse a class action lawsuit. The ruling restricts the case Pulaski & Middleman LLC v. Google Inc. 12-16752 to a trial judge.

In the court, advertisers testified that Google deluded them about the websites and web pages on which their AdWords ads appeared between 2004 and 2008. Google updated the AdWords interface in March 2008, and it became possible for advertisers to choose the website on which they want to have their ads.

The plaintiffs wanted the compensation for the difference in money they paid per click and that they would have paid if Google told them that the ads would be appearing on error pages and parked domains. They proposed three ways for compensation to be paid. The defence lawyer disagreed and said that these ideas are irrational and the lower court had agreed with Google.

But the higher court upheld the claim and decided that the case shouldn’t take into consideration the sales from ads on those pages. The main focus is on the way advertisers valued the service when purchasing and how they would do that if they’d known about the problems with ads appearing.

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