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Google Gets a Lawsuit for Selling Ads on Parked Domains

Legal Attorney Hal K. Levitte filed a complaint before the U.S. District Court in San Jose Calif. against Google for allegedly serving his AdWords’ ads on parked domains.

Levitte’s ad campaign ran from June 1, 2007 to August 18, 2007 on parked domains through Google for Domains. During that period, his ad managed to get around 202,528 impressions from parked domains where his ads were served by Google. Despite this number of impressions, Levitted claimed that his site only got 668 clicks and worst none of those clicks were converted to any action by users who visited Levitte’s site.

Aside from this, Levitte’s ads also appeared on Google’s errror pages, even getting around 1009 impressions, 25 clicks and again zero conversions.

If you’re wondering why Levitte was singling out Google’s serving of his ads on parked domains and errors pages.That’s because Levitte had no choice, since AdWords publishers were not given the option to get out of the Google parked domains and error pages advertising scheme.

The crucial part is, if the complaint becomes favorable to Levitte, Google might find itself paying not only Levitte but all the other AdWords advertisers who experienced the same thing as what Levitte had experienced.

What I’m wondering about is how come Levitte decided to take the ad deal knowing that it was on a CPA ad system? And what happened to the remaining 85% of his ad campaing budget?

Any reaction from Google? Information Week  said that the complaint had not reach Google yet.

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