Menu
Google AdWords case goes to Australia's High Court

Google AdWords case goes to Australia's High Court

The court will decide whether Google deceived consumers by allowing companies to make AdWords purchases of names belonging to competitors

Australia's High Court on Tuesday began hearing Google's appeal of a ruling that it sold misleading advertisements that allowed companies to purchase keywords containing competitor's names.

The case was brought by the Australian Competition and Consumer Commission (ACCC) in 2007 after it found 11 advertisements that contained business names, product names or web addresses for a competitor's business which had not bought AdWords advertisements from Google.

Google prevailed in October 2011, when a Federal Court judge found that some of the advertisements were misleading but that Google had only presented the representations of the advertisers.

The ACCC appealed. On April 3, the Full Federal Court ordered that Google put in place a consumer compliance program after it found four advertisements that were misleading or deceptive and breached Australia's Trade Practices Act of 1974.

Keywords for AdWords are sold by auction and are then matched to people's search queries. With the four advertisements cited by the Full Federal Court, searches for a company's name brought up sponsored links containing the name, but the advertisements lead to the websites of a competitor who had paid for the ads.

In its defense, Google had said it was a publisher that was not responsible for the content and representations made by AdWords purchasers.

The High Court, in Canberra, is not expected to release a ruling for a few months after the hearings conclude, according to an ACCC spokesman.

Send news tips and comments to jeremy_kirk@idg.com

Follow Us

Join the ARN newsletter!

Error: Please check your email address.

Slideshows

IN PICTURES: Mitel A/NZ Channel event Sydney (+23 photos)

IN PICTURES: Mitel A/NZ Channel event Sydney (+23 photos)

Unified communications company, Mitel, invited its top 30 partners in A/NZ to the Intercontinental Hotel in Sydney’s Double Bay. This is the first time the broader A/NZ Mitel channel community have been together since the company re-branding back in October 2014, post Aastra acquisition. ARN received an invite to join attendees for drinks and canapés on the hotel rooftop as Mitel and its partners toasted their recent success.

IN PICTURES: Mitel A/NZ Channel event Sydney (+23 photos)
IN PICTURES: ARN Emerging Leaders Think Tank, Sydney (+40 photos)

IN PICTURES: ARN Emerging Leaders Think Tank, Sydney (+40 photos)

Twenty-one industry leaders came together with ARN staff for an Emerging Leaders Think Tank, held at The Bottle Shop in Sydney​. The aim of the planning session was to develop a compelling program for high potential leaders in the Australian ICT industry.​ Over two hours of strong debate a core line of thought evolved which will form the basis of the Emerging Leaders Forum to be held on May 17 in Sydney. Photos by MARIA STEFINA.

IN PICTURES: ARN Emerging Leaders Think Tank, Sydney (+40 photos)

iasset.com is a channel management ecosystem that automates all major aspects of the entire sales, marketing and service process, including data tracking, integrated learning, knowledge management and product lifecycle management.

Show Comments