ACCC fails in legal bid to label Google ads misleading

This entry was posted on Thursday, October 6th, 2011 at 12:11 am and is filed under General, Trade Practices Law. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.

The ACCC has failed in its bid to have the Federal Court declare that the manner in which Google differentiates sponsored links to organic search results was misleading and deceptive within the meaning of the Australian Consumer Law.

The ACCC had argued that by failing to adequately distinguish advertisements from search results, Google had engaged in misleading or deceptive conduct.

While the Court failed to agree with the ACCC, Google has since changed the labeling of advertisements from ‘sponsored links’ to ‘Ads’ in line with comments by the Court, that the labeling was unclear, but not misleading and deceptive within the sense of the Australian Consumer Law.

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