BUZZ NEWS
Google Vs. Louis Vuitton: The Verdict
For several years, Google and a number of luxury brands, including Louis Vuitton, have been fighting a battle. The object of discussion is the Google AdWords system, the "purchase" of keywords by advertisers who post their advertisements on the search results page when an Internet user searches for that particular word. Depending on the importance of the keyword, the advertiser pays a certain sum every time the Internet user clicks on the advertisement. In exchange, the advertiser theoretically receives a targeted visit.
Brands are denouncing the chaotic commercial system, saying that it contributes to the abusive use of their brand, notably for the benefit of sites selling counterfeit products, or even competing companies unduly profiting from the notoriety of the licensed brand to sell their products or services.
It is noteworthy to remind that in 2005, Google was convicted of promoting counterfeiting and was forced to pay LVMH damages. In 2006, the Paris Court of appeal went even further by extending its verdict to the natural listing of the search engine, claiming that the American Internet giant was technically competent enough to filter search results and exclude counterfeiting websites. However, in 2008 the appelate court asked the European Court of Justice to speak on the case, based on the European directive on brand protection, before rendering their verdict.
It is in this context, that on September 22nd 2009, the public procecutor of the European Court of Justice, Poiares Maduro, gave his opinion giving Google the advantage, saying that Google did not cause any damage to brands by allowing advertisers to purchase key words corresponding to registered brands. Consequently owners of brands cannot prevent Google from offering their brand names as keywords in the AdWords system. However, if Google stays responsible for the content of the displayed advertisements, brand owners can assure the protection of their rights by acting against abusive advertisements.
The opinion of the public prosecutor of the European Court of Justice is just an opinion and thus not binding, but it is followed by the judges of the same court eight times out of ten. It can also be admitted that Google has obtained a small victory in the legal battle against large brands, who will certainly not give up the fight...
Sources
lemonde.fr
bloomberg.com
The original post on culture-buzz.fr
Translated by H. Turner
Image source
Google images
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1. Wednesday 30 September 2009 attime 23:45, by Nickolass Jensen :: Does consumers really know how sponsored links work?
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