Class action accuses Google of unduly suspending refunds for advertising fraud

In 2017, Google agreed to reimburse some advertisers with the help of DoubleClick Bid Manager (now called Display & Video 360 ) when the advertisements were broadcast on broadcast sites. fraudulent or invalid traffic. According to Wall Street Journal (WSJ) sources

hundreds of marketers were eligible, but a class action brought by AdTrader alleges that Google improperly withheld these repayment payments. . & Nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & nbsp; & n Some marketers have expressed dissatisfaction with the refund system. However, according to the WSJ, "Google said that it was not able to return the money already spent from its purchasing tool to third-party online advertising platforms where publishers were selling advertising space ".

AdTrader filed a class action against Google in a California federal court, arguing that Google had "illegally appropriated" refunds to advertisers. The lawsuit alleges that Google has never refunded a refund, after claiming money from publishers accused of inflated or fraudulent traffic.

Alleged failure to pay $ 75 million. The unsealed court documents reviewed by the WSJ apparently indicated that Google had not paid up to 75 million potential refunds related to "advertising markets that Google has and fully controls: AdX and AdSense."

Various third-party analysts and surveillance firms have estimated advertising fraud at more than $ 16 billion worldwide. Other reports have different numbers. Various US estimates, including from the Association of National Advertisers, claim that brands will lose between $ 6 billion and $ 7 billion this year due to fraudulent (non-human) trafficking.

Why bother? The AdTrader trial is still ongoing and seeks class certification for agencies and advertisers who have used DoubleClick Ad Exchange (AdX) and AdSense during the reporting period. It also claims triple and punitive damages, as well as injunctive actions against Google. AdTrader accuses Google of being a monopoly and is positioning itself as a defender of the interests of advertisers. You can read more about the legal and factual allegations in the AdTrader blog post and the court complaint (.pdf).

About the Author

Greg Sterling is a collaborative editor at Search Engine Land. He wrote a personal blog, Screenwerk, about the connection between digital media and consumer behavior in the real world. He is also Vice President of Strategy and Knowledge for the Local Search Association. Follow him on Twitter or find him on Google+.

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