Wednesday, 30 April 2008

Google to be sued for ad fraud

Google is facing another lawsuit in the US, according to a report by CNet. The claim aims to take a class action status for many affected advertisers and has been filed by the same firm that previously won significant cases against both Yahoo! and Google for click fraud issues. The new claim accuses Google of deceiving its customers into paying for ads they didn't expressly request.

This is based on the sign-up process for a new AdWords account whereby advertisers are automatically included in the 3rd-party content network of adverts (Google AdSense). There is not an obvious opt-out option for this part of the advertising network and advertisers need to enter the campaign settings after the account has been set up in order to deselect this option.

It is likely that Google will need to revise this system in the future to make it more obvious to advertisers what they are selecting and how they can easily opt-out if required. It also seems to be the nature of being a big corporation now that Google will continue to face these types of action whenever a potential failure in their system can be exploited for money.

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