Google will face a jury trial to defend its pay-per-click advertising system, AdWords, against a trademark infringement case filed by US window blinds reseller, American Blind & Wallpaper Factory Inc. This marks the first case against keyword advertising problems ever to face the jury.
According to Reuters, American Blinds complaint argues that Google’s system violates trademark law by allowing competitors of American Blinds to use Google’s system to buy keyword search terms, such as “American Blind,” which trigger ads from rival companies.
“We spend millions of dollars annually to build brand awareness and cannot stand idle while Google allows our competitors to ride our coattails,” said a statement from Steve Katzman, CEO of American Blind.
Expect this legal scuffle to heat up considering the risks involved. Apparently, AdWords constitutes 98% of Googleâ€™s $10.6 billion revenue earned in 2006. Jury selection is slated on November 9.
Originally posted on May 12, 2007 @ 3:57 am