Judge Allows Google Keyword Lawsuit To Proceed

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The fact that Google allows trademarked keywords to be sold to entities other than the trademark holder has long been a source of contention for certain companies. Now a judge has ruled that a lawsuit by American Airlines over this issue can proceed. The search company had hoped that the lawsuit would be overturned.

“We are pleased by the judge’s order denying Google’s motion to dismiss our claims,” said American spokesman Tim Wagner. “American would not have brought its lawsuit against Google if we did not believe in the merits of our claims, and the court’s order today ensures that we will have an opportunity to develop and pursue those claims.”
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Google spokesman Jon Murchinson said the Mountain View, Calif.-based company was disappointed in the judge’s ruling but said Google still believes the lawsuit has no merit.

“Google’s trademark policy strikes a proper balance between trademark owners’ interests and consumer choice and has been validated by prior court decisions,” Murchinson said.

Two years ago, Google won a similar case filed by insurer Geico, but other companies have continued to file lawsuits against the Internet company over its use of trademark terms in paid searches.

This case is very likely to set a precedent for keyword cases.

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