ACCC Claim Against Google Squashed By Federal Court

X

The ACCC’s claim Google’s paid-ads broke Australia’s Trade Practices Act was rejected by the Sydney Federal Court today, according to a Bloomberg report.

In 2007, the Australian Competition and Consumer Commission sued Google for allegedly violating Australia’s Trade Practices Act. According to the ACCC, having paid advertising alongside search results implied and affiliation and was misleading.

The case, which is seen as the first of its kind against Google, was dismissed in Sydney Federal Court by Justice Antony Nicholas.  

When online surfers searched for the Trading Post, a site where people can buy or sell vehicles, they were also offered the advertising links to Kloster Ford and Charlestown Toyota, competitors of the Trading Post the ACCC said.

“I am satisfied that Google did not know and had no reason to suspect that the publication of the Kloster Ford advertisement or the Charlestown Toyota advertisement would amount to a contravention” of the Trades Practices Act Nicholas wrote in his ruling, which spanned 106 pages.

In an e-mail statement, Google maintained its belief that advertising should be of benefit to both advertisers and users.

However, Justice Nicholas found the Trading Post was in violation of the Act as it implied affiliation with car dealerships, and ordered the ACCC legal payments to be covered, amounting to $28,000 (US$28,070).

A current search of the Trading Post does not generate the infringing dealership links.

PAN1992 MWO Banners LB 728x90px V2 ACCC Claim Against Google Squashed By Federal Court
DCS 8300LHV2 728x90 smarthouse 1 ACCC Claim Against Google Squashed By Federal Court
Olimpia Splendid Unico Cooling 728x90 ACCC Claim Against Google Squashed By Federal Court
LG HE FN Series Banners 4SQM LB 728x90 ACCC Claim Against Google Squashed By Federal Court
2231 NEXUS 4SQM Digital Banner Ads Leaderboard 728x90 ACCC Claim Against Google Squashed By Federal Court
LB 728x90 ACCC Claim Against Google Squashed By Federal Court
Versa3 Leaderboard 728x90 ACCC Claim Against Google Squashed By Federal Court
4SQM banner 728x90px SOUL ACCC Claim Against Google Squashed By Federal Court
Uniden PRO 728 x 90 ACCC Claim Against Google Squashed By Federal Court
HAR0468 PBOXGO 728x90 ACCC Claim Against Google Squashed By Federal Court


YOU MAY ALSO LIKE