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Click Fraud Settlement Due To Fear Of Dismissal?

By: Andy Beal
2006-05-15

Over at Adotas, Jordan Glogau raises an interesting theory on why the "Lane's Gifts" lawsuit was settled for such a paltry amount.

Link: Jordan Glogau

Glogau suggests the suit was in jeopardy because it wasn't filed in California, as required in Google's T&Cs.;

So why did Google change its mind and decide to settle in Arkansas? That is simple, the terms are totally one-sided in Google's favor. Because Google was about to have the case against it dismissed based on the fact that it was in the wrong venue, it forced Lane's Gifts' lawyers into a bad deal. Google's lawyers figured they could give a small amount of cash to these lawyers and limited refunds to the advertisers.

Got to love the conspiracy theory behind this. Makes sense too. Google knows the suit is close to being dismissed, puts pressure on the lawyers to accept a crappy deal. Google wins, the lawyers win, the advertisers are screwed.

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About the Author:
Andy Beal is an internet marketing consultant and considered one of the world's most respected and interactive search engine marketing experts. Andy has worked with many Fortune 1000 companies such as Motorola, CitiFinancial, Lowes, Alaska Air, DeWALT, NBC and Experian.

You can read his internet marketing blog at Marketing Pilgrim and reach him at [email protected].

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