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Special Coverage :
Trademark protected terms as keywords / AdWords Lawsuits Worldwide -
Google Print
Update 63: May 29, 2009
1. USA: Suit over AdWords budget
limits ends with settlement
A class action law suit against Google will
only make lawyers rich and leave advertisers with advertising credit. Want proof?
Google has settled a lawsuit filed by advertisers (CLRB Hanson Industries of
Minnesota and Howard Stern of New Jersey) who claimed they were charged for more
ads through the AdWords system than they had agreed to pay. The lawsuit, filed
in 2005 in Santa Clara Superior Court in California, sought damages, restitution,
and injunctive relief to remedy Google’s practice of (1) charging its AdWords
advertisers up to 120% of their per day daily budget on any given day (Plaintiffs’
“120% claims”); and (2) charging AdWords customers who paused their campaigns
more than their per day Daily Budget times the number of days their campaigns
were not paused during the billing period.
Under the terms of the proposed Settlement
Agreement, Google has agreed to pay $20,000,000 in a combination of cash and
AdWords Credits. Both plaintiffs will receive $20,000; Google agreed to pay
their lawyers more than $5 million. Other affected advertisers will get AdWords
credits. Google argued that it had only overcharged advertisers to make up for
days when it under-delivered ads, but still chose to end the litigation with a
settlement. A spokesman said: “Google believes the claims are without merit, but
we are pleased to have the litigation behind us and to move forward with our
business objectives.”
CLRB Hanson Industries v. Google,
5:05-cv-03649-JW (settlement papers filed March 26, 2009).
For more information see:
Goldman,
CLRB Hanson v. Google Preliminarily Settles for $20M,
Technology & Marketing Law Blog
2. Second Circuit
decision on "Use in Commerce"
In a long awaited
decision, the Second Circuit reversed a lower court’s
dismissal of a case brought by Rescuecom against Google.
Rescuecom alleged trademark violation, because Google -
through its Keyword Suggestion Tool - had recommended that a
Rescuecom competitor use Rescuecom’s trademark as a keyword.
The district court had dismissed the case, accepting
Google’s argument that its use of Rescuecom’s trademark was
internal and not an infringing “use in commerce.”
So far every single
district court outside of the 2nd Circuit found that the
purchasing of a competitor’s keyword to trigger ads at least
constitutes "use in commerce". Every district court in the
2nd Circuit found otherwise, believing this opinion was
compelled by the Second Circuits holding in 1-800 Contacts,
Inc. v. WhenU.com, Inc., 414 F.3d 400 (2d Cir.192005)
(“1-800”). But the 2nd Circuit found these cases to be
materially different. In 1-800, the search term that was
alleged to trigger the pop-up ad was the plaintiff’s website
address, not its mark. Also, the advertiser could not
purchase keywords to trigger their ads. Instead they could
only choose a category. Google on the contrary, had
recommended its advertisers the Rescuecom trademark through
its Keyword Suggestion Tool and sold it as a keyword.
The case is now
going back to the trial court. Rescuecom still has to prove
that Google's use of the trademark in its AdWords program
causes likelihood of confusion or mistake.
Also see:
3. Google allows
companies to use a rival's trade mark as a keyword in 190
countries
Google has modified
its AdWords trademark policy to allow bidding on trademarked
terms in 190 new countries. The policy is in line with the
same trademark policy that applies in the United States,
Canada, United Kingdom and Ireland. As of June 4th, Google
will no longer investigate complaints relating to the use of
trademarks as keywords by AdWords advertisers. This means
that in the affected regions (a full list can be found
here), a company
advertising on Google will be able to select trademarked
terms as keywords, and a user searching with a trademarked
keyword may see a greater number of relevant ads in the
sponsored links section.
The countries that this trademark
policy does not apply to are
Australia, Cyprus, Hungary, New
Zealand, South Korea, Austria, Czech
Republic, Iceland, Norway, Spain,
Bahamas, Denmark, Italy, Poland,
Sweden, Belgium, Finland, Lithuania,
Portugal, Switzerland, Brazil,
France, Luxembourg, Romania, Taiwan,
Bulgaria, Germany, Macau, Slovakia,
China, Greece, Netherlands, and
Slovenia.
Also see:
Google further liberalizes its
Adwords’s Trademark policy in 190 countries,
Austrotrabant’s Blog
4.
Google allows trademarks in text of US ads
Starting June 15,
2009, Google will allow advertisers to use trademarks in
the ad text, even if they don't own that trademark or
have explicit approval from the trademark owner. But it
is necessary that they sell the brand. Comparative
advertising will still not be permissible. The change
will only apply in the U.S. See the
Google Blog and
Outlaw.
5. New AdWord and Metatag decisions
and cases in the USA and Germany
- AdWords decision
in Germany: No trademark violation by booking two
generic words, which combined together in the right
order result in the claiment's trademark (District Court
of Munich, decision of April 10, 2008, Case Number 1 HK
O 5500/08). For more information see:
Posterlounge Case,
Austrotrabant’s Blog.
- FXP filed a
class-action lawsuit against Google in federal court in
Texas for showing ads of competitors when someone
searched for its trademark "Firepond". FPX is suing as
lead plaintiff on behalf of all Texas trademark owners.
It is the first class action lawsuit against Google over
its AdWords trademark policy. But according to legal
experts (see e.g. Goldman,
Google Hit With Major Class Action Trademark Lawsuit
Over Trademarked Keyword Ad Sales--FPX v. Google,
Technology & Marketing Law Blog), it is unlikely the
court will certify the class.
FPX, LLC v. Google, Inc.,
2:2009cv00142 (E.D. Tex.
complaint filed May 11, 2009)
A few days later, the same
group of lawyers filed a second class action lawsuit
against Google, only this time alleging a class
comprised of all US trademark owners (See Goldman,
Firepond "Copycat" Lawsuit Filed Against Google--John
Beck Amazing Profits v. Google,
Technology & Marketing Law Blog).
John Beck Amazing Profits, LLC v. Google Inc.
2:2009cv00151 (E.D. Tex.
complaint filed May 14, 2009)
- Deltek,
Inc. v. Iuvo Systems, Inc., 2009 WL 1073196 (E.D. Va.
April 20, 2009) -
Defendant who used
plaintiff's mark Deltek in metatags and on his web site
is preliminarily enjoined from using plaintiff's mark
although he provides services for Deltek software. Court
finds no nominative fair use.
For more information visit the
Justia page
und Goldman,
Promatek Redux: Software Consultant
Enjoined from Metatag Usage and Other TM
References--Deltek v. Iuvo,
Technology & Marketing Law Blog
-
Romeo & Juliette Laser Hair Removal,
Inc. v. Assara I LLC,
2009 WL 750195 (S.D.N.Y. March 20, 2009): AdWord case,
in which the trademark was used as keyword and both in
the ad copy and on the linked to web site (court says
this is use in commerce);
issues of material
fact preclude summary judgment; for more information see:
Goldman,
Catching Up on Three Keyword
Advertising Cases--Hearts on Fire, Romeo & Juliette, AAA,
Technology & Marketing Law Blog
-
Hearts on Fire Co. v Blue Nile, Inc.,
2009 WL 794482 (D. Mass. March 27, 2009). The
court determined that the purchase of a trademark
constitutes a use in commerce under the Lanham Act and
created a multifactor test for assessing likelihood of
confusion in the context of sponsored ads: "In
addition to these familiar factors, under the
circumstances here, the likelihood of confusion will
ultimately turn on what the consumer saw on the screen
and reasonably believed,given the context. This content
and context includes: (1) the overall mechanics of
web-browsing and internet navigation, in which a
consumer can easily reverse course; (2) the mechanics of
the specific consumer search at issue; (3) the content
of the search results webpage that was displayed,
including the content of the sponsored link itself; (4)
downstream content on the Defendant's linked website
likely to compound any confusion; (5) the web-savvy and
sophistication of the Plaintiff's potential customers;
(6) the specific context of a consumer who has
deliberately searched for trademarked diamonds only to
find a sponsored link to a diamond retailer; and, in
light of the foregoing factors, (7) the duration of any
resulting confusion. This list is not exhaustive, but it
identifies what the Court views as the most relevant
elements to showing a likelihood of confusion in this
case."
For more information see: Goldman,
Catching Up on Three Keyword
Advertising Cases--Hearts on Fire, Romeo & Juliette, AAA,
Technology & Marketing Law Blog and Gile,
Massachusetts District Court Finds
Keyword Purchase Constitutes Trademark Use
- Video Professor
sued Amazon over the purchase of its trademark as
advertising keyword on Google (Video
Professor Inc. v. Amazon.com Inc., D. Colo., No 09-636,
complaint filed 3/23/09)
In short
- Still no luck for the
Boring's against Google Street View. Their motion for
reconsideration has been denied (Boring v. Google Inc., 2009
WL 931181 (W.D. Pa. April 6, 2009)). See Goldman,
Boring v. Google Reconsideration Motion Denied,
Technology & Marketing Law Blog
- According to a
complaint filed March 17, 2009 with the Federal Trade
Commission by the Electronic Privacy Information center
Google has not implemented adequate privacy and network
security protections for its cloud computer services
like Google Docs or GMail (complaint)
- The US Department
of Justice has launched an inquiry into the deals that
Google set up with authors and publishers with its
Google Book Search and implications of antitrust.
Meanwhile, the US court overseeing that settlement has
extended the deadline for objections to the deal or for
authors to opt out of it on behalf of their works by
four months. The new deadline is September 4, 2009 and
the Fairness Hearing is scheduled for October 7, 2009.
See
Google's book deal faces competition law complaint,
Out-Law
- Hoofnagle, Chris
Jay, Beyond Google and Evil: How Policy Makers,
Journalists and Consumers Should Talk Differently About
Google and Privacy (April 6, 2009). First Monday, Vol.
14, No. 4-6, April 2009. Available at SSRN:
http://ssrn.com/abstract=1380702
- Samuelson,
Pamela, Legally Speaking: The Dead Souls of the Google
Booksearch Settlement (April 16, 2009). Communications of
the ACM, Vol. 52, July 2009. Available at SSRN:
http://ssrn.com/abstract=1387782
- Edwards,
Eli, Stepping Up to the Plate: The Google-Doubleclick
Merger and the Role of the Federal Trade Commission in
Protecting Online Data Privacy (April 25, 2008).
Available at SSRN:
http://ssrn.com/abstract=1370734
- Klett, Alexander,
AdWord-Werbung unter Verwendung fremder Kennzeichen -
markenrechtsverletzend?, K&R 2009, 317-320
- Ott, Stephan,
Datenschutzrechtliche Zulässigkeit von Webtracking?,
K&R 2009, 308-313
-
Ott, Stephan,
Die Entwicklung des Suchmaschinen- und
Hyperlink-Rechts im Jahr 2008, WRP 2009, 351-372
- Meyer, Sebastian,
Aktuelle Rechtsentwicklungen bei Suchmaschinen im Jahre
2008, K&R 2009, 217-225
- Dietrich,
Florian, Anmerkung zu OLG Stuttgart - Snippets, CR 2009,
188-189
- Jotzo, Florian,
Gilt deutsches Datenschutzrecht auch für Google,
Facebook & Co. bei grenzüberschreitendem Datenverkehr?,
MMR 2009, 232-237
- Rath, Michael /
Swane, Torben, Google Buchsuche - digitale
Weltbibliothek und globale Buchhandlung, K&R 2009,
225-228
-
Viscounty, Perry
/ Barry, Jennifer / Olseon, Christopher, Trademark
as Keyword: It's use, but is it confusing?,
Electronic Commerce & Law Report 2009, 564-569
Update 62: March 29, 2009
1. Google wins Street View case in Pennsylvania
A judge has dismissed a lawsuit
filed by a Pennsylvania family against Google. Plaintiffs
had alleged invasion of privacy, trespass and unjust
enrichment, because Google had published photos of their
residence in its Street View feature. The street, in which
the home of the plaintiffs is located is marked as "Private
Road". Aaron and Christine Boring sued for compensatory and
punitive damages, seeking more than 17.000 $.
The judge dismissed the invasion
of privacy claim, because he saw no facts that were
sufficient to establish that the intrusion could be expected
to cause "mental suffering, shame or humiliation to a person
of ordinary sensibilities." "While it is easy to imagine
that many whose property appears on Google's virtual maps
resent the privacy implications, it is hard to believe that
any – other than the most exquisitely sensitive – would
suffer shame or humiliation", the judge said. He deemed the
contended suffering to be less severe because plaintiffs had
failed to take readily available measures to protect their
own privacy. They could have used a procedure provided by
Google to remove the images from Google Street View.
Unfortuantely the judge did not tell, why the plaintiffs
could be refered to use Google's opt-out system, if the
defandant was in fact violating their privacy rights. Seems to me
like a circular argument.
As for the other claims,
plaintiffs failed to allege a duty of care, that Google
could have violated. They also could not support their
contention that their property decreased in value.
So, according to the judge, the plaintiffs have
failed to state a claim under any count.
The couple already aksed the judge to reconsider their dismissed lawsuit.
Some excerpts from their motion for reconsideration:
"This case is about every little guy, once again being trampled upon
by the big shoe of big business. With nowhere to turn but the American Courts,
he is cast away to endure the pinpricks of trespass that bleed our American
liberty to death. Whether the trespass is by a foreign king, or the royalty of
big business, does not matter. The Borings, such as our American forefathers in
millennia past, are entitled to proclaim, 'Google, Don't Tread On Me.'"
"The Borings
should not need to post gates and guard dogs, nor should
they need to institute batteries of cannons in their
driveways. They should have the full power and authority of
our American Courts at their defense. But, now, this Court
has left the American right of private property helpless,
injured, and without remedy."
"This Court
tells Google that it is okay to enter onto a person's
private property without permission. I would not teach that
rule to my child. This Court's ruling makes our private
property a Google Slave; our property is no longer our own:
it is forced to work for another, against its will, without
compensation, for the profit of another. The Federal Court
should free slavery, not create it."
"Google's
defense is that the grass will stand back up, and there was
no gate or guard dog. Or, possibly, that you can pick the
fruit off that poison tree by: a) stopping what you are
doing; b) going to a computer, if you know how to use one;
c) accessing a computer at the cost of doing so; d)
accessing the Internet at the cost of doing so; e)
researching and becoming familiar with the Google program by
going onto their website properties; f) removing the
pictures Google acquired while trespassing on your property;
and g) not pursuing the happiness you might otherwise be
finding. All while they directly and indirectly advertise to
you. The more Google injures, the more money they make."
2. Jones Day, Blogshopper settlement
What was deemed
a rather ridiculous lawsuit,
Plaintiff Jones Day
claimed that Blogshopper's use of the Jones Day Marks and the links to the web
site create the false impression that Jones Day is affiliated with/or approves,
sponsors or endorses Defendant's business, which it does not (see
Update 60 for
details). The parties have reached a settlement. Blockshopper can
continue to link to Jones Day's site, but it must use the firm's Web address as
the link. So great result for Jones Day: Instead of writing
Daniel P. Malone Jr. is an
associate in the Chicago office of Jones Day," BlockShopper must now write
"Malone (www.jonesday.com/dpmalone)
is an associate . . ."
Blockshopper
had spent more than $100,000 defending itself against the lawsuit and was not
afraid of loosing the lawsuit, but obviously couldn't afford to go on with the
defense.
See:
Jones Day settles lawsuit against small Internet site, defendants say,
Cleveland.com
3. Does Google violate antitrust laws by eliminating competition?
Vertical search is an expanding market where a lot of money can be made. The
term "vertical search" refers to more or less specialized search engines for
specific topics, such as Google News for news or YouTube for videos. There are
already more searches conducted at YouTube or eBay than at Yahoo in several
countries. TradeComet also operates a specialized search engine for B2B goods
and services. To promote its web site TradeComet used the Google AdWords program
and was quite successful at the beginning. Officials even meet with Google to
further increase the effectiveness of the ad campaigns. In December 2005
Google praised Trade Comet as "site of the week." In May 2006, however, Google
raised the minimum bids for keywords on which TradeComet bid. Instead of 5-10
cents, several keywords were only available at a minimum price of 5-10 dollars.
These ad rates were way too expensive for the plaintiff to continue promoting
itself within Google's online marketing network. So this move strangled
plaintiffs primary source of search traffic, resulting in substantial drops in
traffic and revenue (about 90%). Google explained to TradeComet that the
increase was due to its poor landing page quality.
TradeComet alleges that Google manipulates its auctions to favor certain
advertisers like business.com over others. Google establishes minimum pricing
thresholds that can differ by advertisers based on criteria , such as "Landing
Page Quality", that is exclusively in Google's control. It is impossible to know
how Google actually picks the winners and losers of its ad actions. In the eyes
of TradeComet officials, Google learned that its search engine was a potential
competitor. The lawyers stated that, “Google understood the threat that vertical
search engines posed to its business mode.” Hence Google increased the bid rates
for advertisement for the company by as much as 10,000 percent.
The suit could be a
real danger to Google. So far, no court has said that Google has a monopoly. But
the courts only considered an online, not a smaller search advertising market.
After the aquisition of DoubleClick Google has strenghtened its position in the
online advertising market and remarks by the Federal Trade Commission lead to
the conclusion that the relevant market indeed is sponsored search advertising
only. And on that market, Google probably has a monopoly share.
Also see: Goldman,
Eric,
TradeComet Sues Google for Antitrust Violations
, Technology & Marketing Law Blog
TradeComet.com LLC v. Google, Inc., 09 CIV 1400 (SDNY
complaint
filed
Feb. 17, 2009).
4. USA: Hyperlinks to Competing
Products on web site with mark
The U.S. District Court for the Middle
District of Pennsylvania held January 12, 2009 that an online company may have
initially confused consumers by providing links to its products on a web site
despite listing another company as a "featured brand" and denied a motion for
summary judgement.
Babyage.com had created a Leachco "featured
brand" webpage in 2007. It displayed the "Leachco" trademark and included a
section of the page entitled "Pregnancy Pillows". In the text, "Today's Mom Cozy
Comfort" and "Serenity Star," denoted
clickable hyperlinks that, when selected, took the viewer to webpages containing
non-Leachco products, including BabyAge's Cozy Comfort pillow, a lower-priced
competitor of Leachco's Back'n'Belly pillow. Leachco argues that this webpage
content constitutes an unlawful "bait and switch" whereby prospective customers
are "baited" by Leachco's brand into visiting the Leachco "featured brand"
webpage on the BabyAge Website, baited into pursuing a Leachco pregnancy pillow,
and then "switched" to non-Leachco pregnancy pillows by the above-mentioned
hyperlinks provided on the webpage.
BabyAge.com Inc. v. Leachco Inc., M.D. Pa., No. 07-1600, 1/12/09
In short
California is the first state to consider imposing restrictions on internet
mapping sites like Google Earth or Microsoft Virtual Earth. With reports in mind
that online satellite images were used to plan the attack in Mumbai last year,
an introduced bill would make it illegal to post closs-up images of "soft
targets" like government buildings, churches, schools and hospitals. For more
details see:
California lawmaker targets Internet mapping sites, The Mercury News
The Dutch Supreme Court sent an AdWords case to the European Court of Justice
(ECJ). With more than 20 questions on the subject, the court wants to know
everything from the ECJ he can possibly say about adwords. For an English translation
of the questions see: Portakabin vs. Primakabin:
Dutch Supreme Court sends Adword case to ECJ, Class 46
The New York Times and Gatehouse Media
settled claims that the news aggregator web site infringes on copyrights by
posting news headlines from other sources verbatim (see
Update 61
and the
settlement order)
The European Union's Article 29 Working
Party welcomed calls for common industry standars on search engine data
retention policies, that would include efficient anonymisation and a maximum
retention period of six months. Currently Microsoft anonymizes data after 18
months, Google after nine and Yahoo after three months. Last year the Working
Party issued its "Opinion on data protection issues related to search engines",
see
Update 56.
New in Legal Resources
- Goldman, Eric,Brand Spillovers. Santa Clara Univ. Legal Studies Research
Paper No. 09-01; Harvard Journal of Law and Technology, Vol. 22, 2008. Available
at SSRN:
http://ssrn.com/abstract=1324822
Csillag, Sandra, Der
Google-Urheberrechtsvergleich: Wer hat Rechte am digitalen Content?, medien
und recht 2009, 23-27
Ott, Stephan, Das Internet vergisst
nicht - Rechtsschutz für Suchobjekte, MMR 2009, 158-163
Ott, Stephan,
Die
Entwicklung des Suchmaschinen- und Hyperlink-Rechts im Jahr 2008,
WRP 2009, 351-372
Update 61: February 10, 2009
1. Germany: German Federal Court decisions on
AdWords
The German Federal court (BGH) has asked the European Court of Justice (ECJ)
to decide whether or not the use of a trademark as a Google adword is
considered use as a trademark.
At the end of January, the BGH has published its opinion on three appeals.
In the first case a company objected against the use of its trademark "bananabay"
as a keyword by one of its competitors. Because German trademark law is
based on EU law (First
Directive 89/104/EEC of the Council, of 21 December 1988, to Approximate the
Laws of the Member States Relating to Trade Marks), the BGH could not
decide on its own, especially as the ECJ has already been asked to consider
the same issue by a French an a Austrían court (see:
European Court of Justice will hear
Google Adwords lawsuit!). It is expected that
it will take the ECJ about two years to decide the issue. But the French
case, brought by Louis Vuitton, is already pending for eight months. So my guess
is, we can expect the final word on adwords at the beginning of 2009.
The decision will be crucial for Google and for the keyword advertising
business in Europe.
In the second case before the BGH, the plaintiff, PCB Pool, objected
against the use of pcb as adword. But according to the BGH there was no
trademark infringement. PCB is an acronym of printed circuit board and the
keyword used, descriptive. So the BGH overturned a lower court's ruling.
The finding in the third case could be the most interesting one. Beta
Layout had complained about the use of its company name as keyword. The
protection of company names does not have its roots in EU law, so the BGH
could decide the case. According to the press release he found that there
was no trademark violation because internet users are capable of
distinguishing between ads and normal search results.
2. USA: Google Not Liable for Fraudulent Ads
In the Goddard v. Google case (see
Update 57 for details), District Court Judge
Jeremy Fogel in San Jose ruled that the federal Communications Decency Act
immunizes Google from liability for allegedly displaying fraudulent ringtone ads
created through the AdWords platform. Goddard had claimed that she was billed
for a ringtone subscription after entering her cell phone number at a fraudulent
web site that she found via an AdWords ad. She sought to hold Google
responsible. But the court found that the Federal Communications Act protects
Google from any liability for the ads, noting in the written decision,
"Providing third parties with neutral tools to create Web content is considered
to be squarely within the protections of (the law). Even if a service provider
knows that third parties are using such tools to create illegal content, the
service's provider's failure to intervene is immunized" so long as it does not
encourage or require their users to post actionable information online. Fogel dismissed the
case without prejudice, effectively allowing Goddard to file an amended
complaint at a later date. Goddard can only win the lawsuit by establishing
Google's involvement in creating or developing the AdWords.
Goddard v. Google, Inc., 2008 WL 5245490 (N.D. Cal. Dec. 17, 2008).
For more information see Goldman, Eric,
Lawsuit Over Google Ads for Mobile Services Dismissed Per 230--Goddard v. Google,
Technology & Marketing Law Blog
3. GateHouse Media Lawsuit: Don't aggregate our
headlines and post snippets of our stories
In a lawsuit filed in U.S. District Court in Boston,
GateHouse Media Inc. asked a judge to stop the New York Times Co. from linking to GateHouse articles on Boston.com’s new
local advertising-supported “Your Town” sites, claiming its new
practice of grabbing headlines from GateHouse Web sites constitutes
copyright infringement. Boston.com publishes headlines, the first
sentences of many stories and deep links to GateHouse Media articles.
GateHouse claims its sites are losing money because people are
visiting the individual story pages instead of the home pages of its
sites. It wants to block the Times Co. from aggregating its content,
receive compensation for losses, punitive damages and reimbursement
for legal fees.
While GateHouse might have a point accusing the
Times Co. of copyright infringement by reproducing sentences of
their articles, some statements in the complaint about the practice
of deep linking are pretty much nonsense, e.g. "The user receives no
warning or notification that it has been transported to an
unaffiliated third-party website, thus exacerbating the potential
for confusion as to the source of origin of the repotage and
information displayed on the infringing website."
In its response, the NY Times mentions
emails from GateHouse officials pointing out that identical
activities are clearly fair use. Howard Owens, GateHouse’s director
of digital publishing,
wrote (page 19):
"Also note that headline, a few graphs and a link back to our site
isn’t a Creative Commons issue, but a fair use issue, and they would
probably win on that one."
So here is a deep link to a web site that hosts the complaint:
Deep Link to Techdirt!
Please note: I'm not affiliated with
Techdirt. There will be no further warning that you will leave my
web site by clicking on the link. You are all on your own! And
please also visit the homepage of Techdirt.
A lawsuit by Agence France Presse (AP) against Google News for aggregating
headlines and posting excerpts of news articles posed similar questions, but
that case settled before trial. Google also struck a licensing agreement with
The Associated Press (AP).
In short
-
The Consumer Watchdog group asked Google to give users the ability to opt out
of leaving personal data, such as IP addresses, on Google's servers. Ask.com
already provides a service called "AskEraser" that allows users to delete their
personal information from the company's systems. ( Consumer
Watchdog)
Yahoo announced that it would retain user search data for three months (down
from currently 13 months!), thus exceeding recommendations that have been made
by the
European Union's Article 29 Data Protection Working Party. In April 2008
the group said
that it did not see any reason for storing non-anonymized user
data for more than six months. Storing data for more than six months could be a
violation of the EU Data Protection Directive (95/46/EC).
Ixquick metasearch engine (www.ixquick.com)
announced
that it has taken a pioneering step and will permanently delete all personal
search details gleaned from its users from the log files.
According to the U.S. District Court for the Western District of Washington
using a competitor's mark in metadata likely confused consumers in violation of
the Lanham Act. The "funny thing" about the lawsuit: A disclaimer on the web
site of the defandant made clear that the was not affiliated with the mark owner.
But: As a result of the disclaimer, a Google search for the trademark caused his
site to appear on the first page.This was enough to establish initial interest
confusion, the court said.
Suarez
Corporation Industries v. Earthwise Technologies Inc., W.D.Wash., No. C07-5577,
11/14/08
New in Legal Resources
-
Wäßle, Florian, Rechtliche Zulässigkeit von Bilder-Suchmaschinen im
Internet, K&R 2008, 729-731
-
Kramarsky, Stephen / Siegel, Kara, Examining Online Advertising:
Search Engine Keywords and Trademark Use, Journal of Internet Law,
10/2008, 1, 16-24
-
Deva, Surya, Yahoo! for Good and the right to privacy of internet
users, Journal of Internet Law, 3/2008, 3-9
-
Hogertz, Alexander, Internet image ruling interpreted, Copyright
World, issue 186, 10-11
-
Shemtov, Noam, Searching for the right balance: Google, keywords
advertising and trademark use, E.I.P.R. 2008, 470-474
Update 60: December 14, 2008
1.
Argentina: Google and Yahoo locked in legal battle with celebrities
Martin
Leguizamon, 48, a Buenos Aires attorney, has taken on the local versions of
Yahoo und Google on behalf of many of Argentina's best-known actors, models,
sports personalities and judges. Initially he represented a group of about
70 fashion models and asked the search engines to block all search results
with their names with the intent of blocking pornographic web sites that
used the models' pictures. He succeeded in getting restraining orders. Yahoo
and Google were ordered to censor search results from their Argentine sites
for information about the plaintiffs. Then other public figures - including
Maradona and the high-profile judge María Servini de Cubría - have sought
out the same lawyer to successfully block search results about them as well.
In some cases, the restraining orders require Yahoo and Google to censor
results for certain URLs or keywords. In other instances they call for broad
restrictions such as censorship of defamatory or scandalous material.
Yahoo first
tried to satisfy the orders by blocking content on a site-by-site basis. But
as the scope of the orders grew, the company couldn't satisfy the courts.
The fines pilled up, and Yahoo has resorted to blocking almost all sites
involving the celebrities in question. The only exceptions are hyperlinks to
major news media sites. If a user enters the name Maradona e.g., he will see
a disclaimer in Spanish stating: "Due to a court order requested by private
parties, we find ourselves obliged to temporarily suspend all or some of the
results related to this search."
So far, Google
Argentina isn't filtering as extensively as Yahoo! and hopes for successful
appeals and the legislator to change the law.
Also see:
Argentine search engines told to block famous names,
Outlaw
2. Germany:
Thumbnail decision revisited
I already mentioned
in the last update
that the German photographer Michael Bernhard and the artist Thomas Horn
have won lawsuits against Google for displaying thumbnails images of their
works in picture search results.
I now have the
court decision
(German):
According to the
Court Google infringes the making available right of the copyright owner.
The court examines several exceptions to the copyright exclusivity, e.g. the
right of citation, but finds that no exception applies.
Earlier court
decisions on thumbnails in Germany discussed the possibility of an implied
consent by the copyright holder. But this case was different: The picture,
which Google used to create the thumbnail, had not been put on the web by
the copyright owner and he had also not allowed the reproduction by a third
party. So there was no basis for an implied consent.
The court then
stressed the importance of search engines for the internet (although it said
that picture search is not as important as web search), but it also said
that it was not up to the court to invent new copyright exceptions. It saw
no possibility to say that Google's actions are legal.
3. Spain: Google
Cache is legal (the Megakini.com-case)
The plaintiff
accused Google of copyright infringement by reproducing snippets from his
web site in the results page and by making available cached copies of his
web site.
As to the
snippets, the court (Sentencia de la Audiencia Provincial de Barcelona
(Section 15), of 17 September 17, 2008) concluded that they are too short
and thus not infringing.
As to the cached
copies the court examined the exceptions to the copyright holder's
exclusivity. The court doubted that the exception of temporary reproduction
(Art. 31 I of the Ley de Propiedad Intelectual / Art. 5 I of the EU
Copyright Directive) applies, because the copies Google uses for its service
exist for a longer time, even if the original web site has been removed or
modified. But the court did not make a final decision on this subject.
Instead it looked at the three step test (See e.g. Article 13 of TRIPs. It
reads: "Members shall confine limitations and exceptions to exclusive
rights to certain special cases which do not conflict with a normal
exploitation of the work and do not unreasonably prejudice the legitimate
interests of the rights holder.") and the US fair use doctrine and found
that these principles should also guide the interpretation of the scope of
the protection of intellectual property rights in Spain in order to avoid
absurd overextensions of the protection of copyright owners. The court than
found that the Google Cache is a socially tolerated use and does not do any
harm to the copyright holder. But Google has to comply with some basic
requirements. Here the court refered to the caching safe harbor in Art. 13
of the E-Commerce Directive, (The caching safe harbor does not apply to the
Google cache, but the court assumed that these requirements are also the
limits that a cache provider must observe in order to respect the integrity
of the work and the author’s right of making available the work). So there
is no copyright infringement on the condition that
(a) the provider
does not modify the information;
(b) the provider
complies with conditions on access to the information;
(c) the provider
complies with rules regarding the updating of the information, specified in
a manner widely recognised and used by industry;
(d) the provider
does not interfere with the lawful use of technology, widely recognised and
used by industry, to obtain data on the use of the information; and
(e) the provider
acts expeditiously to remove or to disable access to the information it has
stored upon obtaining actual knowledge of the fact that the information at
the initial source of the transmission has been removed from the network, or
access to it has been disabled, or that a court or an administrative
authority has ordered such removal or disablement.
Quite an
interesting ruling. But I doubt that it will get much approval. While the
Hamburg court in the thumbnail decision said that it is not the task of a
court to invent new exceptions to the copyright holder's exclusivity, the
Spanish appeal court did just that by combining fair use principles and
requirements of the E-Commerce-Directive.
4. Canada:
Linking to defamatory content - Crookes v. Wikimedia Foundation
In Crookes v.
Wikimedia Foundation, Inc. (B.C. Sup. Ct. Aug. 29, 2008) the Supreme Court
of British Columbia had to decide if under Canadian law linking to an
article that contains statements alleged to be defamatory, does, by itself,
constitute defamation. Liability could only exist if the link publisher made
any statement relating to the defamatory material itself, the court said:
"[32] In the
present case, although hyperlinks referred the reader to articles now
claimed by the plaintiffs to be defamatory, the plaintiffs agree that the
defendant did not publish any defamatory content on the p2pnet website
itself. The defendant did not reproduce any of the disputed content from the
linked articles on p2pnet and did not make any comment on the nature of the
linked articles. In these circumstances, a reader of the p2pnet website who
did not click on the hyperlinks provided would not have any knowledge of the
allegedly defamatory content.
...
[34] I do not
wish to be misunderstood. It is not my decision that hyperlinking can never
make a person liable for the contents of the remote site. For example, if
Mr. Newton had written "the truth about Wayne Crookes is found here" and
"here" is hyperlinked to the specific defamatory words, this might lead to a
different conclusion."
§
The ruling
Also see
Neuburger,
Canadian Court Rules Linking to Libel Isn't (Necessarily)
Libel
5. USA:
Google Book Search Settlement
Google and
The Authors Guild, the Association of American Publishers said that they
have settled a book scanning lawsuit for $125 million.
The deal, which still needs approval from a
federal court in New York, would clear the way for the company to
provide easier online access to millions of copyrighted books.
Google began
scanning and uploading books four years ago. However, unlike other
countries where it only scanned books fallen out of copyright, in the
USA it scanned books that were still copyright protected and made them
available through its book search program - enraging publishers and
authors. Three years ago, the Authors Guild and others filed a class
action lawsuit against Google Book Search. As part of the agreement
Google will compensate them at a minimum of $60 per work, costing it up
to $90m of the $125m deal.
Google:
With this
agreement, in-copyright, out-of-print books will now be available for
readers in the U.S. to search, preview and buy online — something that
was simply unavailable to date. Most of these books are difficult, if
not impossible, to find. They are not sold through bookstores or held on
most library shelves, yet they make up the vast majority of books in
existence. Today, Google only shows snippets of text from the books
where we don’t have copyright holder permission. This agreement enables
people to preview up to 20% of the book.
What makes
this settlement so powerful is that in addition to being able to find
and preview books more easily, users will also be able to read them. And
when people read them, authors and publishers of in-copyright works will
be compensated. If a reader in the U.S. finds an in-copyright book
through Google Book Search, he or she will be able to pay to see the
entire book online. Also, academic, library, corporate and government
organizations will be able to purchase institutional subscriptions to
make these books available to their members. For out-of-print books that
in most cases do not have a commercial market, this opens a new revenue
opportunity that didn’t exist before.
For details
of the agreement see the
Google Press Release
and
The End of Snippet View: Google Settles Lawsuit with
Book Publishers,
New York Times. For German speaking readers see my post:
Google Buchsuche - Überblick und erste Analyse des Vergleichs.
The agreement (141-page / 500KB PDF)
6. USA: Jones
Day v. Blockshopper.com - Hyperlink creates false impression of
affiliation?
Blockshopper.com provides information about property transactions. One
of their reports state the facts of real estate transactions of Jones
Day associates, displays their pictures, and states the associates work
for Jones Day. In addition, the report includes links to information
about these associates appearing within Jones Day's website. Jones Day
sued Blockshopper and alleges trademark infringement! Plaintiff contends
Defendant's use of the Jones Day Marks and the links to the web site
create the false impression that Jones Day is affiliated with/or
approves, sponsors or endorses Defendant's business, which it does not.
Sounds
ridiculous! That's pretty much, what the Electronic Frontier Foundation
(EFF) is saying about the lawsuit: "some of the most preposterous
trademark claims we've ever seen... If Jones Day were correct, no news
site or blog could use marks to identify markholders, or links to point
to further information about the markholders, without risking a lawsuit.
But that is not the law, and Jones Day should know it."
7. USA:
Hyperlink, death threats and violation of the First Amendment
A complaint
to the U.S. District Court for the Eastern District of Wisconsin says
that the First Amendment permitted plaintiff, Ms. Reisinger, to include
on her personal web site a link to the Sheboygan Police Department and
that the city's insistance that she remove it was unconstitutional.
The case is
quite curious:
Ms. Reisinger
was involved in the creation of a web site devoted to recall efforts of
Mayor Perez. The mayor noticed that Mr. Reisinger - on her own business
homepage - had a link to the City of Sheboygan Police Department. He
asked the City Attorney if the link was permissible. The attorney
answered that anyone can create a link to someone else's website very
easily without the knowledge or consent of the linked party.
Nethertheless the assistent to the mayor, indicated the mayor wanted the
attorney to issue a cease and desist letter regarding the link. So Ms.
Reisinger received such a notice and severed the link. She found the
request very silly, but said she wanted to follow the "wish". But then
the story really started: The police began an official investigation
relative to the linking. Other web sites and blogs started ridiculing
Ms. Reisinger. She now retained counsel. As a result the City of
Sheboygan indicated that they wanted her to continue to use the link to
the Police Department. But now it was too late. Ms Reisinger had already
received death threats (she had to install video cameras at home...) and
suffered a significant decrease in income. She now sues for compensatory
damages in sum of 250.000 dollar and punitive damages.
Reisinger v. Perez, E.D. Wis, No 08-cv-00708,
complaint filed 8/20/08
In short:
-
American
Airlines is suing Yahoo! over the use of its trade marks to trigger ads
for competing airlines. The company has previously settled a similar
case with Google (American Airlines, Inc. v. Yahoo! Inc., 4:2008cv00626
(N.D. Tex.
complaint filed
Oct. 17, 2008);
Justia page).
For more information see: Goldman,
Eric,
American Airlines Sues Yahoo for Selling Keyword
Advertising
and
Yahoo Countersues American Airlines for Declaratory Judgment,
Technology & Marketing Law Blog
Interflora has sued Flowers Direct and Marks and Spencer at the High
Court in London for using its trademark and misspellings like "Intaflora"
and "Inter-flora" as keywords. For more information see:
Interflora sues M&S over Google keywords,
Outlaw
New in legal
resources
§
Fischman
Afori, Orit, Implied License - An Emerging New Standard in Copyright Law
(September 10, 2008). Santa Clara Computer and High Technology Law Journal,
Vol. 25, 2008, available at SSRN:
http://ssrn.com/abstract=1266083
§
Möller, Mirko, Die
Nichtbenutzung einer nicht sichtbaren Marke, MarkenR 2008, 386
§
Schmelz, Christoph,
Keyword-Advertising als Markenverletzung - Ende der Diskussion oder
Diskussion ohne Ende?, MarkenR 2008, 196-199
§
Pollock,
Rufus,Is Google the Next Microsoft? Competition, Welfare and Regulation in
Internet Search (September 9, 2008). Available at SSRN:
http://ssrn.com/abstract=1265521
§
Goryunov,
Eugene, All Rights Reserved: Does Google's 'Image Search' Infringe Vested
Exclusive Rights Granted Under the Copyright Law?(2008). John Marshall Law
Review, Vol. 41, No. 2, 2008. Available at SSRN:
http://ssrn.com/abstract=1268571
§
Munir, Abu
Bakar / Teh, Tai Yong, Googling Data Protection: Don't be evil, C.T.L.R.
2008, 183-190
§
He,
Huaiwen, Safe harbor provisions of Chinese law: How clear are search engines
from liability?, Computer Law & Security Report 2008, 454-460
§
Peguera,
Miquel, I just know that I (actually) know nothing: Actual knowledge and
other problems in ISP liability case law in Spain, EIPR 2008, 280-285
Links & Law
Regular's table in Munich
Thursday, Feb. 12, 2009 will see the
third Links & Law regular's table in Munich.
Everyone who wants to talk about internet law or search engines is welcome. If
you want to attend, just drop me a
line!
Update 59: October 18, 2008
1. First Links & Law Meeting
in Munich
2. UK: Christian Institute / Google case settled out of court
In March, Google refused an ad
from the Christian Institute, arguing it did not allow the advertising of
websites with "abortion and religion-related content". The ad in question
stated: "UK Abortion law - Key views and news on abortion law from the
Christian Institute - www.christian.org.uk". The Institute sued Google in
April, saying that its decision violated the Equality Act of 2006 which
prohibits discrimination based on religion in providing goods or services.
Instead of fighting the case,
Google settled out-of-court and agreed to revise its policy so that
religious entitities are now allowed to launch advertising campaigns on
abortion.
For more information see: New
York Times,
Google in Shift on ‘Abortion’ as Keyword
3. Google Analytics illegal in Germany?
Thilo Weichert, Privacy
official in Schleswig-Holstein already contacted several webmasters to
inform them about the illegality of their use of Google Analytics. So far he
does not warrant fines (ULD:
Google Analytics - Verstoß gegen das TMG?).
Steven
Silvers, is the creator of animated characters known as "Googles," described
as "lovable, friendly four-eyed alien creatures that live on the planet of
Goo" that are used to "communicate to children in non-violent themes social
lessons, conceptual awareness and educational values, and give children of
today, visions of tomorrow." Silvers alleges that he developed the Googles
concept in the late 1970s, and began using the name as early as the
mid-1980s. In 1997, Silvers obtained the Internet domain name, "googles.com".
Stelor, now the legal owner of the Googles
mark, alleges that the Google search engine (along with its related goods
and services) "has become so well-known... that it now overwhelms the public
recognition of the "Googles' trademark, domain name, and Website, and is
preventing Stelor from flourishing on the Web or entering new markets..." It
further claims that "Google's infringing use of the name 'Google,' which is
substantially identical to Silvers' 'Googles' mark, has caused, and will
continue to cause, 'reverse confusion' in that the consuming public will now
falsely believe that Stelor's goods and services, 'googles.com' domain name,
and Website, are connected, affiliated, associated, sponsored, endorsed or
approved by Google, and that Google is the source of origin of the 'Googles'
concept, books, music, 'googles.com' domain name, Website, merchandise, and
related goods and services..." Stelor now pursues the four-count amended
complaint, originally filed by Silvers against Google, alleging trademark
infringement under 15 U.S.C. § 1114, unfair competition under 15 U.S.C.
§1125(a), unfair competition under Florida law, and "cancellation of
Defendant's registration."
In September 2008 the
United States District Court for the Southern District of Florida denied
Stelor Productions Inc.'s motion to compel defendan's principals, Sergey
Brin and Lawrence Page for deposition. Stelor had claimed that only
Page and Brin have
knowledge of (1) the background and evidence related to the first commercial
use of the Google mark, (2) the Google, Inc. applications for trademark
registrations, and (3) the statements made by the Google principals under
oath in support of those applications.
Stelor now must first take the deposition of
Rose Hagan, Google's Rule 30(b)(6) representative.
For court documents see: Stelor
Productions, Inc. v. Ooogles n Googles et al,
Justia
5. Google Street View - Legal
Problems in Germany?
In the last months Google has
been taking photographs for its controversial Street View feature in
Germany. Several officials at both state and federal level have issues with
the project and a small town council leader Reinhold Harwart "succeeded" in
stopping Google in the northwestern German state of Schleswig-Holstein. The
town of Molfsee (pop. 5000) announced that Google needed a permit to take
pictures. Laws related to traffic and commercial activities in public spaces
would apply. "And when they ask for a permit, we will say no", Hawart says.
Although the cited laws are pretty much the same throughout Germany, Google
announced to stop taking pictures in Schleswig-Holstein only. Google still
argues that streets are public property and that no permit is necessary and
will probably continue to talk to officials.
Google is expected to start
Street View in Germany very soon. Faces of people and license plate numbers
caught in the images will be blurred. The Street View button is already
enabled in Germany for testing!
For more information see: The
Cleveland Leader,
German Town Attempting to Block Google Street View
6. Parker v. Yahoo, Microsoft
Parker claims that by
making cached copies of his websites available to their users, both Yahoo
and Microsoft republish his works in their entirety without his permission.
Accordingly, Parker has brought several claims against both defendants,
including direct copyright infringement, contributory copyright infringement
and vicarious copyright infringement.
Sound familiar?
In
Field v. Google, Inc.,
the United States District Court for the District of Nevada considered a
case that is strikingly similar to the present one: Field, an author of
copyrighted works published online at his website, sued Google in copyright
for creating and storing cached versions of his works as they appeared on
his website. Field was also aware that he could have opted out of being
included in Google's searches by including "no-archive" HTML "meta-tags" on
his web page. Nonetheless, he brought a claim of direct copyright
infringement against Google for violating his exclusive right to reproduce
and distribute copies of his works. Among other defenses, Google asserted
that the plaintiff had impliedly licensed Google to reproduce his work
because he had consciously chosen not to include the no-archive meta-tag on
the pages of his website. The court concluded that Google had sufficiently
established the defense of implied license.
The district court in
Parker followed this reasoning.
From Parker's silence and
lack of earlier objection, the defendants could properly infer that Parker
knew of and encouraged the search engines' activity, and, as did the
defendants in Field, they could reasonably interpret Parker's conduct
to be a grant of a license for that use.
But in the end the Court did not
dismiss the direct copyright infringement claim, because the defandants
allegedly have continued to display Parker's works after the commencement of
the lawsuit. This might constitute direct infringement, because the licence
might have been revoked.
Parker v. Yahoo!, Inc.,
2008 U.S. Dist. LEXIS 74512 (E.D. Pa. Sep. 26, 2008)
7. AdWords cases in Germany - Federal Supreme Court decision is imminent
In my opinion the Federal
Supreme Court is inclined to decide in favour of the advertisers, but can't
reasonably issue a verdict before asking the ECJ.
8. No Thumbnails allowed in
Germany - Why don't you use textual descriptions?
The German photographer Michael
Bernhard and the artist Thomas Horn won lawsuits against Google for
displaying thumbnails images of their works in picture search results. It's
not the first decision against thumbnails and probably not the last one.
News reports about "The end of Image Search Engines in Germany" are totally
exaggerated. The discussion about the legality of thumbnail pictures has
been going on for years now in Germany (See
Green light for search engines to use thumbnail images?
and
Important thumbnail decision in Germany).
What makes the recent decision especially worse and led to comments in the
news like "major step backwards for German ebusiness in general" or "step
into the digital stone age" is one comment of the judge. He suggested a
picture search that uses textual descriptions of the pictures instead of
thumbnails!
The Hamburg court is quite
notorious for its internet law decisions (especially in the field of
liability of internet forum operators) and
was heavily
criticized
for these in Germany. Some were reversed on appeal. And no surprise:
Google will appeal the thumbnail rulings.
The final word on thumbnails
will probably come from the Federal Supreme Court. Untill then, don't worry
about picture search in Germany. It will continue!
I don't have the text of the
Hamburg decision yet, but will probably write about it in the next update.
Also see: The Standard,
Google appeals possible German ban on image search
and Deutsche Welle,
Google Loses Court Battle Over Image Searches
10. New in Legal Resources
-
Ott, Stephan, Suchmaschinen
und Jugendschutz, K&R 2008, 578-585
-
Schirmbacher, Martin /
Müßig, Liska, Suchmaschinen und Kartellrecht, IT-Rechtsberater 2008,
207-208
-
Jaeschke, Lars, Zur
markenmäßigen Benutzung beim Keyword-Advertising, CR 2008, 375-380
-
Leistner, Matthias / Stang,
Felix, Die Bildersuche im Internet aus urheberrechtlicher Sicht, CR
2008, 499- 507
-
Denis-Leroy, Laurence,
Liability for Adwords Services in France, CRI 2008, 108-112
Update 58: August 17, 2008
1.
Purchased Ads on parked domains
A
class-action lawsuit filed in May 2006 against
Yahoo! Inc. accused the company of engaging in "syndication fraud"
against advertisers who pay Yahoo to display their ads on search results and on
the Web sites of partner pages. The suit claims that Yahoo also displayed the
ads via spyware and adware products and on so-called "typosquatter" web sites
that capitalize on misspellings of popular trademarks or company names.
For more information see the Technology & Marketing Law Blog:
Yahoo "Syndication Fraud" Lawsuits--Crafts by Veronica v. Yahoo and Draucker
Development v. Yahoo /
Search Engine Advertiser Litigation Updates
Now,
Google has also been hit with a lawsuit for the alleged sale of "low quality"
ads on parked domains and error pages. The complaint alleges that
Google is guilty of "unjust enrichment" by promising high-quality ad
placements and then serving a substantial portion of ads on low-quality
sites. Plaintiff Levitte claims that 16,3 % of all the clicks in his
campaign came from such sites, but not a single one of those clicks led to a
conversion. The suit seeks class-action status for everyone in the US with
an AdWords account over the last four years.
One
week later, online retailer RK West filed a similiar lawsuit against Google. The
complaint alleges that the company purchased ads without realizing they would
appear on parked domains.
See Levitte v.
Google (complaint
and
Justia page) and RK West v. Google (complaint
and
Justia page).
2. MPAA fights film links sites
The Motion
Picture Association of America (MPAA) has filed suits against Fomdb.com and
Movierumor.com, alleging contributory copyright infringement and inducement
of copyright infringement, because they provide links to
copyright-infringing copies of movies.
"These sites contribute to and profit from massive copyright infringement by
identifying, posting, organizing, and indexing links to infringing content
found on the Internet that consumers can then view on-demand," said an MPAA
statement.
Earlier
this year, the MPAA settled two similiar cases against Showstash and
Cinematube. The defendants admitted that they were liable for infringement.
Showstash agreed to a payment of 2.7 million US-Dollar and Cinematube 1.3
million US-Dollar.
The ruling in the
Cinematube case reads: "Defendant has engaged in contributory
copyright infringement and inducement of copyright infringement by actively
searching for, identifying, collecting, posting, organizing, indexing, and
posting on his website (www.cinematube.net) links to infringing material,
which has been posted on thirdparty websites".
For more information see:
MPAA wins $4 million from ShowStash and Cinematube, Techspot
3. Information Commissioner: Street View no violation of privacy laws in
Great Britain?
Google
is expected to launch its controversial Street View feature in Great
Britain later this year. After several complaints from citizens and due
to opposition from privacy advocates, the Information Commissioner's
Office took a closer look at the service and finally gave it his
blessing: "We are satisfied that Google is putting in
place adequate safeguards to avoid any risk to the privacy or safety of
individuals, including the blurring of vehicle registration marks and
the faces of anyone included in Street View images. Although it is
possible that in certain limited circumstances an image may allow
identification of an individual, it is clear that Google are keen to
capture images of streets and not individuals."
Individuals can also complain about identifiable pictures and have them
removed.
Google
Cars have been spotted in several European countries in the last few
months including Spain, Germany, France, Italy and Great Britain.
Also
see:
4. Sex Selection Ads in India
The advertisement of products
and techniques to aid in the selection of an unborn child's sex is an
offense under India's "The Pre-conception and Pre-natal Diagnostic
Techniques (Prohibition of Sex Selection) Act". But Google India, Yahoo
India and Microsoft still serve ads that claim to help in the selection of a
child's sex. Following a complaint, India's Supreme Court asked the search
engines to respond to the charges.
For more information see:
Microsoft, Google, Yahoo Sued for Sex Selection Ads in India
5. Comments on FTC Behavioral
Advertising Principles
In December 2007, the Federal Trade Commission released a
paper titled "Online Behvioral Advertisement: Moving the Discussion Forward
to Possible Self-Regulatory Principles" (See:
Self-Regulatory Principles on Behavioral Advertising). It included four
proposed principles:
-
transparency and consumer control
-
reasonable security and data retention
-
consent for changes to existing privacy policies
-
consent to using sensitive data for behavioral
advertising.
The FTC called for comments and many companies and
organisations sent statements (they can be found at
http://ftc.gov/os/comments/behavioraladprinciples/index.shtm). The
commentators agreed that the principles were a good start for the discussion,
but also critized several aspects. Google said the principles are overly
burdensome and too broadly defined.
As in Europe, Google sticks to its opinion that the IP adress
is not a personally identifying information. The paper does not
differentiate between personally identifying information and not personally
identifying information.This would be a big problem: Principle 3 e.g.
requires affirmative express consent for material changes to an online
company's privacy policy. Google has a lot of unauthenticated users. How
should they be asked for their consent?
Principle 4 would either require the affirmative consent, or
simply prohibit, collection of sensitive personal data for behavioral
advertising. Google criticises that "sensitive data" is not defined: ”As
a result, Principle 4 would not allow Google to collect a search query for
“cancer treatment” or “alcoholics anonymous” from unauthenticated users
because we do not have any relationship with an unauthenticated user and we
have no way to obtain that user’s consent – affirmative and express or
otherwise – prior to collecting the search query."
6. Fraudulent Ad Charges - Almeida
sues Google
Google offers advertisers two types of ads. The first is a search ad. When
an user uses Google to search for a specific term, Google will display the
ads of advertisers who have bid for those particular keywords. The second
type of ad is contextual based ads. These ads are shown on third party
web sites that have content that matches the keywords bid on by the
advertiser. When signing up, the advertiser has to select the maximum daily
budget and the maximum CPC bid. The advertiser has two choices "Default CPC
bid" and the "CPC content bid". Next to the "CPC content bid" input is the
word "optional". According to a lawsuit brought by Almeida advertisers who
left the optional content bid section of the form blank believed they were
opting out of content advertisement. This expectation was supported by the
fact that users were not given the option of opting out of content bids
during the advertising campaign creation process. So Almeida claims that
Google fraudulently concealed the fact that advertisers would be charged for
the third-party content ads even if they did not complete the portion of the
sign-up form. He alleges that Google's actions constitute an unfair or
deceptive practice within the meaning of California Business and Professions
Code sections 172000 et seq.
Maybe the plaintiff should have had a look at the
AdWords Help Center? Check out
http://adwords.google.com/support/bin/answer.py?answer=6276.
7. In short
-
According to the U.S. District Court for the
District of New Jersey, a trademark placed in a single metatag designed to
advertise a company's ability to service a rival's product is nominative
fair use (Synscort
Inc. v. Innovative Routines Int'l Inc., D. N.J., No. 04-3623, April 30,
2008).
-
According to the U.S. Courts of Appeal for the
Tenth Circuit a parody web site does not "use a trademark in commerce" by
providing links to other sites with commercial content (Utah
Lighthouse Ministry v. Found. for Apologetic Info. Research, 10th Cir.,
No. 07-4095, May 29, 2008).
-
Hysitron Inc. v. MTS Systems Corp., 2008 WL
3161969 (D. Minn. Aug. 1, 2008): Keyword Advertising is trademark use in
commerce!
-
American
Airlines Inc. and Google Inc.
have settled their Adwords related trademark-infringment lawsuit by the
carrier against the search engine. Terms of the dismissal weren’t disclosed
in the
judge's dismissal order. See Goldman, Eric,
American Airlines and Google Settle Keyword Advertising Lawsuit,
Technology & Marketing Law Blog
-
The U.S. District Court for the Eastern District of Wisconsin held that
a company may proceed with a trademark infringement claim against a
company that allegedly resold its products without authorization and
purchased keyword ads containing the trademarked terms.
(Standard
Process Inc. v. Total Health Dis. Inc.
E.D. Wis., No. 06-803, June
6, 2008). According to the ruling, defendant has not established that
its sales are protected by the nominative fair use doctrine. (A commercial party may be entitled to a nominative fair use defense when
it uses a mark holder’s trademark to describe the mark holder’s product
provided the commercial party meets the following three requirements:
(1) the product or service in question must be one not readily
identifiable without use of the trademark; (2) only so much of the mark
or marks may be used as is reasonably necessary to identify the product
or service; and (3) the user must do nothing that would, in conjunction
with the mark, suggest sponsorship or endorsement by the trademark
holder.) Defendant made statements suggesting that it was affiliated
with the plaintiff. Documents showed that defendant has reffered to
plaintiff's 75th anniversary and described its accomplishments using
first-person pronouns "we" and "our". For more information see: Goldman,
Eric,
Two Regressive Search Engine Advertising Rulings--Standard Process v.
Total Health and Finance Express v. Nowcom, Technology & Marketing
Law Blog
8. New in Legal Resources
-
Peguera, Miquel, When the Cached Link is the
Weakest Link: Search Engine Caches under the Digital Millennium Copyright
Act (May 21, 2008). Journal of the Copyright Society of the U.S.A., Vol. 56,
Winter 2009, Available at SSRN:
http://ssrn.com/abstract=1135274
-
Kumpf, Patrizia / Dippelhofer, Mischa,
Google-AdWords zu den Marken der Konkurrenz - legitime Werbung oder
Rechtsverletzung?, JurPC Web-Dok. 109/2008
-
Bernreuther, Friedrich, Die suchmaschinenoptimierte
Webseite - eine urheberrechtlich geschützte Unlauterkeit mit und ohne
Markenverletzung, WRP 2008, 1057-1068
-
Volkmann, Christian, Verkehrspflichten für
Internet-Provider, CR 2008, 232-238
-
Lepperhoff, Niels / Petersdorf, Björn, Datenschutz
bei Webstatistiken, DuD 2008, 266-269
-
Steidle, Roland / Pordesch, Ulrich, Im Netz von
Google. Web-Tracking und Datenschutz, DuD 2008, 324-329
-
Schultz, Dennis / Störing, Marc, Die
wettbewerbsrechtliche Beurteilung von Keyword Advertising mit fremden Marken,
WRP 2008, 741-749
-
Schirmbacher, Martin, Urteilsanmerkung zu LG
Frankfurt - Werbung auf Website mit rechtswidrigen Inhalten, CR 2008, 325-327
-
Knupfer, Jörg, Urteilsanmerkung zu LG Frankfurt -
Werbung auf Website mit rechtswidrigen Inhalten, MMR 2008, 348
-
Schack, Haimo, Anmerkung zu OLG Jena - Thumbnails,
MMR 2008, 414 - 416
-
Klein, Susanne, Search Engines and Copyright - An
Analysis of the Belgian Copiepresse Decision in Consideration of British and
German Copyright Law, IIC 2008, 451-483
-
Travis, Hannibal,Opting Out of the Internet in
the United States and the European Union: Copyright, Safe Harbors, and
International Law (August 12, 2008). Notre Dame Law Review, Vol. 83, No. 4,
2008; Available at SSRN:
http://ssrn.com/abstract=1221642
-
Ott, Stephan, Luz Verde Para Que Los Motores De Bùsqueda Usen
Vistas En Miniatura, El Derecho De Autor 2007, 117-123
-
Ott, Stephan, Die Haftung von YouTube für
urheberrechtsverletzende Uploads seiner Nutzer nach US-amerikanischem Recht, GRUR-Int.
2008, 563-569
-
Ott, Stephan, Haftung für Embedded Videos von YouTube und
anderen Videoplattformen im Internet, ZUM 2008, 556-564
-
Ott, Stephan, Haftungsrecht im Internet - Ein Ratgeber für
Forenbetreiber, ISBN 978-3-638-95271-2,
Amazon
Google Book Search
-
Bracha, Oren,
Standing Copyright Law on its Head? The Googlization of Everything and the
Many Faces of Property, 85 Tex. L. Rev. 1799 (2007)
-
Prasad, Akhil / Agarwala, Aditi, Armageddon on the
digital superhighway: Will Google's e-library project weather the storm?,
Computer Law & Security Report 2008, 253-260
-
Na, Testing the Boundaries of Copyright Protection: The Google Books
Library Project and the Fair Use Doctrine, 16 Cornell J.L. and Pub. Pol'y
417 (2007)
-
Bisk, J. S. B. "Book Search Is Beautiful?: An Analysis of Whether Google
Book Search Violates International Copyright Law" Albany Law Journal
of Science and Technology 17, no. 1 (2007): 271-310
-
Bender, Mark R. "Google's
Book Search: An Australian Copyright Perspective" SSRN, 2007
-
Costantino, Melanie. "Fairly
Used: Why Google's Book Project Should Prevail under the Fair Use Defense"
Fordham Intellectual Property, Media & Entertainment Law Journal 17 (Autumn
2006): 235-277
-
Gamble, Aundrea. "Google's Book Search Project: Searching for Fair Use
or Infringement" Tulane Journal of Technology & Intellectual Property
9 (Spring 2007): 365-384
-
Givler, Peter. "Google
and the Book Publishers: Testing the Limits of Fair Use in the Digital
Environment" NYSBA Bright Ideas 14, no. 2 (2005): 23-25
-
Hetcher, Steven. "The
Half-Fairness of Google's Plan to Make the World's Collection of Books
Searchable" Michigan Telecommunications and Technology Law Review
13, no. 1 (2006): 1-76
-
Jordan, Lawrence. "The
Google Book Search Project Litigation: 'Massive Copyright Infringement' or
'Fair Use'?" Michigan Bar Journal 86, no. 9 (2007): 32-34
-
Kohler, David, "This
Town Ain't Big Enough for the Both of Us—Or Is It? Reflections on Copyright,
the First Amendment and Google's Use of Others' Content." SSRN, 2007
-
Okano, Ari. "Digitized
Book Search Engines and Copyright Concerns" Shidler Journal of Law,
Commerce & Technology 3, no. 4 (2007)
-
Romman, K. H. "The Google Book Search Library Project: A Market Analysis
Approach to Fair Use" Houston Law Review 43, no. 3 (2006): 807-846
-
Savirimuthu, Joseph. "Legal Reflections on the Google Print Library
Project." Journal of Intellectual Property Law & Practice 1, no. 12 (2006):
801-808
-
Shah, M. "Fair Use and the Google Book Search Project: The Case for
Creating Digital Libraries" Commlaw Conspectus 15, no. 2 (2007):
569-614
-
Travis, Hannibal, "Google
Book Search and Fair Use: iTunes for Authors, or Napster for Books?"
SSRN, 2006.
http://ssrn.com/abstract=944048
-
Proskine, E. A. "Google's Technicolor Dreamcoat: A Copyright Analysis of
the Google Book Search Library Project." Berkeley Technology Law Journal
21, no. 1 (2006): 213-240
-
Westin, Cameron W. "Is
Kelly Shifting Under Google's Feet? New Ninth Circuit Impact on the Google
Library Project Litigation" Duke Law & Technology Review, Rev.
0002 (2007)
-
Rösler, Hannes, "The Future of Books" - Symposium
zur urheberrechtlichen Zulässigkeit der Google Buchsuche, GRUR-Int. 2008,
489-491
Update 57: June 10, 2008
1. European Court of Justice will hear Google
Adwords lawsuit!
So far, there have been more than 70 decisions on
Adwords in EU member states, more than 30 in France alone. The rulings differ in
finding and reasoning. The use of trademark protected terms as keywords may be
legal in some member states (e.g. in Great Britain), may be illegal in other
member states (e.g. in France
and Italy). German courts are split on this question.
It seems that advertisers will
finally get some very important advice. The European Court of Justice in
Luxembourg will hear a trademark infringement suit concerning Google AdWords!
Its decision will probably influence future adwords lawsuits in all 27 member
states, because trademark law is harmonised across the EU (see:
First Council Directive 89/104/EEC of 21 December 1988 to approximate
the laws of the Member States relating to trade marks), and could
force Google to change its policy over trademarks and keywords in some member
states.
In 2005 Louis Vuitton successfully sued Google;
not only for allowing
keyword combinations that associate plaintiff's protected marks with terms
including "imitation", "fake" and "copies", but also for proposing such terms to
would-be advertisers (Louis
Vuitton Malletier / Google, Civil Court of Paris (TGI), February 4,
2005). In
June 2006 The Paris Court of Appeals agreed with that decision and found
Google guilty of trademark counterfeiting and unfair competition.
Google appealed to the Cour de cassation,
the main court of last resort in France. The Court decided to ask the European
Court of Justice whether the offering of alternative choices of (trademark
protected) keywords breaches trade mark laws.
The decision can be found at:
http://www.juriscom.net/documents/casscom20080520.pdf (French). For comments
see
http://www.juriscom.net/actu/visu.php?ID=1069,
http://www.nicolas-herzog.net/categorie-10074671.html (both French) and
http://www.linksandlaw.de/news1109-cour-de-cassation-eugh-adwords.htm
(German)
There have been two more AdWords related court
decisions in France this year:
8 -
"Rentabiliweb"
Tribunal de Grande Instance Paris, decision of
March 14, 2008 - "Citadines"
Also see:
2. USA - Court: Keyword Metatags are a poor indicator
of relevancy
After
more than ten years of metatag cases: The United States District Court
for the Eastern District of Wisconsin is the first to realize that keyword
metatags don't matter to search engines!
Standard Process, Inc. v. Banks, 2008 WL 1805374 (E.D. Wis. April 18, 2008):
"Like the
plaintiff in Promatek, Dr. Banks used Standard Process trademarks in the
metatags of his website. However, today “modern search engines make little if
any use of metatags.” ... As more and more webmasters “manipulated their keyword
metatags to provide suboptimal keyword associations, search engines
progressively realized that keyword metatags were a poor indicator of relevancy.”
Accordingly, search engines today primarily use algorithms that rank a website
by the number of other sites that link or point to it."
For
more information on the case see: Goldman, Eric,
Court Says Keyword Metatags Don't Matter - Standard Process v. Banks,
Technology & Marketing Law Blog
3. Belgium - Copiepresse v. Google - The copyright battle
continues
Back in April 2006 the Belgian newspaper group
Copiepresse filed a lawsuit against Google for re-printing parts of their
articles and headlines on Google News and caching their web pages. Google lost
in 2007, but appealed the decision. For over a year, Google and Copiepresse went
into negotiations and tried to find a solution, but it now seems those talks
have broken down. Copiepresse wants Google to pay 4 million Euro immediately,
and maybe more later. Professor Alain Berenboom of the Free University of
Brussels estimates that the losses attributable to Google's activities were
between € 32.8 million and € 49.2 million for a single year! I very much doubt
that the newspapers really suffered such a loss. Quite on the contrary. Without
Google, they probably would have had less visitors and less income from ads. To
win the case, Copiepresse has to show that the headlines and extracts are
copyright procted and with regard to the caching issue, that Google's behavior amounts to copyright infringement (which is very likely in European
countries, because of the lack of a "fair use" defence).
The court case will resume on September 18 to
decide if the infringements are valid and whether the damages payment is
reasonable.
For more information see:
Belgian group seeks up to $77.2 mln from Google, Reuters
4. USA - Citysearch faces click fraud lawsuit
Tom Lambotte is suing Citysearch.com, because the
advertising company allegedly charged him improperly for "fraudulent clicks". In
his view, Cityseach failed to take any significant measures to track or prevent
click fraud and fails to adequately warn its existing and potential customers
about the existence and prevalance of click fraud. The incident described in the
complaint seems to be of minor importance. Between December 11, 2007 and December 25, 2007 Lambotte
received a total of nine clicks on his ads, between December 26, 2007 and the
end of December his ad received between 12 to 16 porported clicks per day. If this
sudden increase of clicks is the result of click fraud, remains to be seen. Even
if this is the case, the damage the plaintiff might have suffered, might not be
higher than 50 US-Dollars...
Lambotte v. IAC/InterActiveCorp. (Cal. Superior Ct.
complaint
dated May 27, 2008)
For more information see:
5. USA - Hyperlink to child pornography =
Distribution?
According to a military appellate court's decision
in the USA, the act of distributing a hyperlink to an online source of child
pornography does not subject the defendant to criminal liability for
distributing the child pornography available at that web site.
P. Navrestad was charged under Article 134, Uniform
Code of Military Justice (UCMJ), 10 U.S.C. § 934 (2000), with distributing and
possessing child pornography in violation of the Child Pornography Prevention
Act of 1996 (CPPA), 18 U.S.C. §§ 2251-2260 (2000). He had send a hyperlink to a
Yahoo! Briefcase during an Internet chat session. The linked to site contained
child pornography images. 18 U.S.C. § 2256(8) defines child pornography as “any
visual depiction, including any photograph, film, video, picture, or computer or
computer-generated image or picture . . . of sexually explicit conduct, where .
. . the production of such visual depiction involves the use of a minor engaging
in sexually explicit conduct." "Visual depiction” in turn, “includes . . .
data stored on computer disk or by electronic means which is capable of
conversion into a visual image.” 18 U.S.C. § 2256(5).
So the key question was whether a hyperlink
contains “data stored . . . by electronic means which is capable of conversion
into a visual image." The court stressed the fact that a hyperlink only provides the
recipient with a path to another website. It does not contain data itself. So
the court held that Navrestad did not distribute child pornography. But the
decision was a close one, 3:2. In his dissenting opinion, judge Effron wrote: "The
recipient’s ability to access and use images transmitted by hyperlink is
functionally indistinguishable from the ability to access and use images
transmitted as individually saved files."
United States v. Navrestad,
No. 07-0199 (C.A.A.F., May 14, 2008).
Also see:
6. USA - Google sued over "fraudulent" AdWords
(Goddard v. Google)
Jenna Goddard claims she was
injured when she provided her cell phone number to an allegedly fraudulent
mobile subscription service website and was charged for unwanted mobile content
services in form of premium text messages. But instead of suing the subscription
service, she went after Google and sued
the company. Why? Goddard says that she
performed a Google search for "ringtone" and an ad pointed her to the scammy
ringtone provider.
In its Content policy Google
only allows a ad for a mobile subscription service, if it accurately discloses
a host of higly relevant information to consumers, such as the service's price,
subscription period and cancellation procedures (for details see
http://adwords.google.com/support/bin/answer.py?hl=en&answer=74334). Goddard claims that Google is aware that mobile subscription services frequently do not
disclose these terms, but driven by financial motivations does not live up to
its contractual obligations not to run ads for these companies. "Fortunately for
deceptive mobile subscription services, Google has systematically declined to
live up to its contractual obligations, irrespective of its public
pronouncements to do so, opting instead to line its own pockets through an 'anything
goes' approach to the advertising and sale of mobile content," reads the
complaint.
Goddard
hopes to have the
lawsuit elevated to class status.
Goddard v. Google, Inc., Case
No. 108CV111658 (Cal. Super. Ct. complaint dated April 30, 2008). Google's
notice of removal to federal
court C08 02738 (N.D. Cal. removal notice dated May 30, 2008).
For more information see:
Goldman, Eric,
Google Sued for Running Ads for "Fraudulent Mobile
Subscription Services"--Goddard v. Google,
Technology & Marketing Law Blog
7. USA - Designer Skin v. S&L Vitamins: Keyword
Metatags and Ads No Initial Interest Confusion
S & L Vitamins had used Designer Skin’s trademarks
in the metatags and source codes of its websites, and as search-engine keywords,
to inform internet consumers who are searching for Designer Skin’s products that
those products are for sale on S & L Vitamins’ websites. The United States
District Court held that there was no initial interest confusion. It stressed
the fact that S & L Vitamins’ use of Designer Skin’s trademarks accurately
described the contents of its websites:
"In contrast to the deceptive conduct that forms
the basis of a finding of initial interest confusion, S & L Vitamins uses
Designer Skin’s marks to truthfully inform internet searchers where they can
find Designer Skin’s products. Rather than deceive customers into visiting their
websites, this use truthfully informs customers of the contents of those sites.
Indeed, in practical effect S & L Vitamins invites Designer Skin’s customers to
purchase Designer Skin’s products. The fact that these customers will have the
opportunity to purchase competing products when they arrive at S & L Vitamins’
sites is irrelevant. The customers searching for Designer Skin’s products find
exactly what they are looking for when they arrive at these sites. S & L
Vitamins is not deceiving consumers in any way. Thus, its use of the marks does
not cause initial interest confusion."
Designer Skin, LLC v. S & L Vitamins, Inc., 2008 WL 2116646 (D. Ariz. May
20, 2008)
For more information see:
8. In short
- Three French websites have been found guilty of
invading an actor's privacy for publishing links to articles containing the
offending material. The Paris Tribunal has fined the operators of all three
sites. For more information see
French sites fined
for linking to privacy-invading content, Out-Law.
- A US court has ordered a company to use 'negative
keywords' to avoid being associated with another firm's trade mark.
Orion Bancorp Inc. v.
Orion Residential Finance LLC, 2008 WL 816794 (M.D. Fla. March 25, 2008).
For more information see Goldman, Eric,
Injunction Requires
Negative Keywords in Future Adwords Campaigns, Technology & Marketing Law
Blog.
- Online retailer Bigreds.com is suing Yahoo Inc. for
$1 million, alleging that it was overcharged nearly that amount because it was
the victim of click fraud. Reportedly, Yahoo offered Bigreds a $17,000 refund
and had admitted that the clicks were invalid. See
Computerworld. For court documents visit:
http://news.justia.com/cases/featured/new-york/nyedce/1:2008cv01334/279258/.
- An open letter sent to Google by US consumer and
privacy groups urged the company to add a link from its homepage to its privacy
policy. In Europe, the Article 29 Working Party also called for a link on the
homepage ("Users must be able to easily access the privacy policy before
conducting any search, including from the search engine home page"). Google told
Out-Law that the company is refusing the request, see
Google needs link to
privacy policy on homepage, say privacy groups.
- In October 2007, the Court of Milan held that the
use of a trademark protected term as keyword was not trade mark infringement by
neither Google nor the advertiser. It was, however, unfair competition by the
advertiser (Key 21 v Mulitiutility and Google Italy).
New in Legal
Resources
If you understand
German, check out my article about search engine law 2007 "Die
Entwicklung des Suchmaschinen- und Hyperlink-Rechts im Jahr 2007" (published
in WRP 2008, 393-413)!
-
Graeber, Christoph / Franz, Cornea, Anmerkung
zu OLG Düsseldorf - AdWords, EWiR 2007, 531-532
-
Volke, Claus, Anmerkung zu OLG Köln - AdWords,
Mitteilungen deutscher Patentanwälte 2008, 30-34
-
Wechsler, Andrea, Yahoo China erleidet
Niederlage, Baidu gewinnt gegen die internationale Musikindustrie, GRUR Int.
2008, 269-270
-
Meyer, Sebastian, Aktuelle Rechtsentwicklungen
bei Suchmaschinen im Jahre 2007, K&R 2008, 201-208
Update 56: April 15, 2008
1. Abortion and religion-related content is inappropriate, Google says
Ads for non-religious sites with views
on abortion? No problem! Adverts for pornographic sites? Sure! But abortion and
religion related content? No way! So Google refused to run a pro-life ad for The
Christian Institute's website, christian.org.uk, ("UK abortion law - news and
views on abortion from the Christian Institute"), because "abortion and religion-related content"
is "inappropriate
content" according to Google's policy.
Lawyers for the Institute say this is
unlawful discrimination under the Equality
Act 2006. They demand that Google change its policy or face legal action.
2. German Jewish Group Sues Google over YouTube
The Central Council of Jews in Germany filed a temporary injunction March 20,
2008, against Google in Hamburg District Court. The Jewish group demands that
Google pull hate videos from its YouTube subsidiary. Among the offending videos
was one in which a photo of the late president of the Central Council, Paul
Spiegel, was burned against a background of swastika s. According to
Business Week, Stephan Kramer, the general secretary of the Central Council
of Jews explained the move: "The radical right-wing scene is using YouTube,
massively, as a platform. We are accusing Google, with its YouTube video
platform subsidiary of being an accomplice to inciting racial hatred and
discrimination."
3. Self-Regulatory Principles on Behavioral
Advertising
In
December 2007, the Federal Tra de Commission (FTC) released a
set of
proposed principles to guide the development of self-regulation in the area
of online behavioral advertising. Behavioral advertising means the tracking of a
consumer’s activities online – including the searches the consumer has conducted,
the web pages visited, and the content viewed – in order to deliver advertising
targeted to the individual consumer’s interests. One proposal is aimed at more
transparency and consumer control:
"Every
website where data is collected for behavioral advertising should provide a
clear, concise, consumer-friendly, and prominent statement that
(1) data about
consumers'
activities online is being collected at the site for use in providing
advertising about products and services tailored to individual consumers’
interests, and
(2) consumers can choose whether or not to have their information
collected for such purpose. The website should also provide consumers with a
clear, easy-to-use, and accessible method for exercising this option."
The
guidelines are partly intended to adress concerns over the Google-DoubleClick
deal. So far Google is not engaged in behavioral advertising, but declines to
say whether the merger will facilitate
respective plans.
Also see:
-
Alexis, Alexei, Behavioral Advertising - Search Engine Firms Expected to
Face Continued Hill Scutiny, Electronic Commerce & Law Report 2008, 121-123
4. Sponsored Links decision in the U.K.
Google changes its trade mark policy in the
UK and in Ireland: The use of trade marked terms to trigger ads will be allowed,
starting May 5. This move brings the policy in line with the one in the US and
Canada.
Google might have announced the change
because of a recent High Court Ruling that cleared Yahoo of trademark
infringement. Victor Wilson, owner of a London based catering business had sued
Yahoo, after discovering that typing Mr Spicy, a name that he registered as a
Community Trade Mark, triggered sponsored links for Sainsbury's supermarket.
Yahoo asked for summary judgement, arguing that it had not used plaintiff's
trademark, and got it:
"The trade mark in this case is not used by anyone other than the browser
who enters the phrase "Mr Spicy" as a search query in the defendants' search
engine. In particular, the trade mark is not used by the defendants. The
response of the defendants to the use of the trade mark by the browser is not
use of the trade mark by the defendants.
That is enough to decide the case in the defendants' favour. But the
matter does not stop there. If, by some process of reasoning, one were to hold
that the search engine's response to the words used by the browser was, itself,
use by the defendants, in my judgment, it is not use of the mark "Mr Spicy". What, instead, is being used is the English word
"spicy" as it appears in that
phrase."
But please note: The advertiser had used the word "spicy"
as keyword, not "Mr Spicy", so its still possible that buying a keyword that
matches another firm's trade mark is unlawful in the UK.
Google's decision
might be a dangerous one that leads to more lawsuits.
Also see:
, 2008:
Google's trade
mark policy change, the cost to brand owners and the law, Out-Law
March 6, 2008:
Yahoo! wins
sponsored links ruling in High Court, Out-Law
AdWords Trademark Policy Revision (IK and Ireland)
Victor Andrew Wilson v. Yahoo! UK Ltd. / Overture Services Ltd., Decision of
February 20, 2008
5. First Google street view lawsuit
in the USA: Boring v.
Google
Google allegedly took pictures from what was
labeled as “private property” for its Street View Feature. So, Aaron and
Christine Boring filed suit in Allegheny County court on April 2, 2008. They are
demanding $25,000 to make up for the "mental suffering" and the diminished value
of their home. Google claims that this lawsuit is pointless since anyone can ask
them to have pictures removed without legal action. You can watch some of the
pictures of the proper ty and the complaint
here.
Also rea d:
Mr. and Mrs. Boring sue Google over Street View pics - "No one will compromise
our privacy but us", The Register
6. Article 29 Data Protection Working Party
Report: Opinion on data protection issues related to search engines
A
report by the European Union's privacy panel, the Article 29 Data Protection
Working Party, demands that search
engines follow EU privacy regulations, even when the services are headquartered
outside the European Union. They should delete personal
data held about their users within six months.
Key findings of the report:
-
The Data Protection Directive (95/46/EC)
generally applies to the processing of personal data by search engines, even
when their headquarters are outside of the EEA.
-
Search engines may only process personal
data for legitimate purposes and the amount of data has to be relevant and
not excessive in respect of the various purposes to be achieved.
-
In view of the initial explanations given by
search engine providers on the possible purposes for collecting personal
data (e.g. Service improvements, system security, fraud prevention,
personalised advertising), the Working Party does not see a basis for a
retention period beyond 6 months.... In case search engine providers retain
personal data longer than 6 months, they will have to demonstrate
comprehensively that it is strictly necessary for the service.... If there
is no legitimate ground for processing, or for use beyond the well-specified
legitimate purposes, search engine providers must delete personal data.
Instead of deletion, search engines may also anonymise data, but such
anonymisation must be completely irreversible for the Data Protection
Directive to no longer apply.
-
The Working Party finds that the correlation
of personal data across services and platforms for authenticated users can
only be legitimately done based on consent, after the users have been
adequately informed.
-
Users of search engine services have the
right to access, inspect and correct if necessary, according to Article 12
of the Data Protection Directive (95/46/EC), all their personal data,
including their profiles and search history.
-
Cross-correlation of data originating from
different services belonging to the search engine provider may only be
performed if consent has been granted by the user for that specific service.
7. Important thumbnail decision in Germany
So far,
German courts were split on the question, if copyright law allows the
creation and display of thumbnail images by picture search engines.
There have been two
major decisions, one by the District Court of Hamburg (Case No. 308 O
449/03, full text available at:
http://www.linksandlaw.de/urteil73-thumbnails.htm) and the second by the
District Court of Erfurt (Case No.: 3 O 1108/05, full text available at:
http://www.linksandlaw.de/urteil171-bildersuche-thumbnails.htm).
The
District Court of Hamburg ruled against Google's German news service when it
found that thumbnail images, that were displayed beside excerpts from
various news stories, were protected under German copyright law and could
not be reproduced without permission.
The
District Court of Erfurt argued that webmasters must brace themselves for
other users to link to their works. The court stressed the fact that the
thumbnails cannot be enhanced into high quality images and that the
depiction of thumbnails is beneficial to the copyright holder, because
visual search engines help users to locate them on the internet. Page owners
had one easy way to prevent their pictures from appearing as thumbnails in
search engine results, the court wrote. They can restrict access to the
works on their site, e.g. by the use of a robots.txt file.
The
plaintiff appealed the decision and the Thuringian Higher Regional Court
(decision of February 27, 2008, Case No. 2 U 319/07
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full text in German) did not follow the reasoning of the District Court.
In
accordance with prior cases the court found that the creation and display of
thumbnail images is not allowed under the exemptions granted by the German
Copyright Act. Google also failed to convince the court that the "implied
consent" defense applies. In the eyes of the judges, the upload of a work on
a web site is not enough to find that the copyright owner agrees to all
search engine uses. So thumbnails used by picture search engines violate the
German Copyright Act (I don't agree with this result, please see my article
Green light for search engines to use thumbnail images?).
But
then the court came up with a solution to dismiss the lawsuit. The plaintiff
was engaged in search engine optimization. Under these circumstances, the
court found that the plaintiff had attracted crawlers and was estopped from
raising claims against search engines!
I don't think
that it is a good idea to assume that the plaintiff abused her legal rights:
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The plaintiff had used metatags (the decision only speaks of the keyword
metatag - that is useless, if you want to optimize your pages for
Google, but the plaintiff might have also used other metatags). Metatags
don't "attract" crawlers. They are a way of telling search engines which
keywords are relevant for a web site, but they don't influence how often
a web page is visited. Metatags are used to increase the visibility of a
web site within the (web) search results.
-
The court did not offer a solution what the plaintiff should have done,
if she wanted her web site to appear in the web search results, but not
in the picture search results. If she had optimized the pictures (which
is very difficult to prove), than the reasoning of the court would have
been correct, but only then.
-
In my view,
it would have been better to consider the search engine optimization
under the aspect of "implied consent". The use of the metatags shows
that the copyright owner wanted his works to be found. So it would be
consequent to assume, he impliedly consents to the necessary copyright
uses by search engines.
For a
more in depth analysis, see the
comment in my German Links & Law Blog
8.
In short (it's all about adwords and metatags in the
USA ...)
AdWords
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The
U.S. District Court for the Eastern District of
Kentucky denied a motion to dismiss without actually deciding whether the
purchase of keywords was a trademark use, holding merely that the plaintiff's
Lanham Act claim was "plausible". (T.D.I.
Int'l Inc. v. Golf Preservations Inc., E.D. Ky., No. 07-313, 1/31/08)
-
In a
case, where competetor's trademark was displayed in the ad copy, a
federal court found initial interest confusion as a matter of law, because
the defendant offered no evidence to show a lack of initial interest
confusion and could offer no explanation for why he chose plaintiff's
trademark as an Adword. (Storus
Corp. v. Aroa Marketing Inc., 2008 WL 449835 (N.D. Cal. Feb. 15, 2008)) For more information on this case see: Goldman, Eric,
Adwords Ad Creates Initial Interest Confusion -- Storus v. Aroa,
Technology & Marketing Law Blog
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The Second Circuit h eard oral arguments in Rescuecom v. Google. Click here
for a
comprehensive report by James Grimmelmann.
Metatags
A ccording
to the 11th Circuit the use of trademarked terms in metatags constitutes
trademark infringement. Judging from the statement that the description
Google used in the search results included the trademarked term, the
defendant probably used it in the description metatag.
North
American Medical Corp. v. Axiom Worldwide, Inc., 2008 WL 918411 (11th
Cir. April 7, 2008)
For
more information on the case see: Goldman, Eric,
11th Circuit Freaks Out About Metatags - North American Medical v. Axiom,
Technology & Marketing Law Blog
New in Legal Resources
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Euler, Ellen, Web-Harvesting vs. Urheberrecht,
CR 2008, 64-68
-
Wiebe, Andreas, Suchmaschinenmonopole und
Kartellrecht, Medien und Recht Int. 2007, 179-187
-
Ernst, Stefan, Suchmaschinenmarketing in der
aktuellen deutschen Rechtsprechung, Medien und Recht Int. 2007, 195-200
-
Weichert, Thilo, Datenschutz bei Suchmaschinen,
Medien und Recht Int. 2007, 188-194
-
Klein, Sheldon / Huffnagle, Henry, Split
Decisions: The Issue of "Use" in the Context of Search Engine
Keyword-Triggered Advertising, Intellectual Property & Technology Law
Journal, Volume 19, Number 12, December 2007, 1-8
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