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French Court Orders Google to Stop Competing Ad Displays

charleste writes "NPR is reporting that a French court has ordered Google to stop displaying ads when users search for competitors (e.g. if you search for Louis Vuitton, no more ads for Dior). If this holds up, wouldn't this affect most business models for free web tools?" CNET also has details , and information about previous cases.

45 of 630 comments (clear)

  1. Slashdot editors ordered to stop posting dupes by Anonymous Coward · · Score: 5, Informative
    1. Re:Slashdot editors ordered to stop posting dupes by Anonymous Coward · · Score: 4, Funny

      Come on, it's Google. Dupes don't count.

    2. Re:Slashdot editors ordered to stop posting dupes by Anonymous Coward · · Score: 5, Funny

      In order to show you the most relevant articles, we have omitted some articles very similar to the 1 already displayed.
      If you like, you can repeat the display with the duplicated results included.

  2. And who by JPelorat · · Score: 5, Insightful

    Is going to determine and keep track of which companies are competitors? How the hell is anyone supposed to do that for every single company in existence?

    --
    Hokey statistics and ancient misconceptions are no match for a good thought in your head, kid!
    1. Re:And who by cybersaga · · Score: 5, Insightful

      The government doesn't enforce it. They just wait for someone to sue. It's like every other law.

    2. Re:And who by mzwaterski · · Score: 3, Insightful
      The government doesn't enforce it. They just wait for someone to sue. It's like every other law.

      Maybe you just weren't clear with what you were saying, but trademark law is not like EVERY other law. Take for example any criminal law. Whereas trademark matters are almost entirely civil matters (person A sues person B), criminal law is, well, criminal (Gov't/State vs. person B). Its a really big difference.

    3. Re:And who by null+etc. · · Score: 5, Insightful
      This is not suprising or unreasonable.

      In which world do you live?

      I find this highly unreasonable. Right now, it is permissible for Company A to advertise its products on a huge billboard right in front of Company B's building. Are you suggesting this practice be banned too?

      A magazine has an article about Microsoft security. On the adjoining page is a full page advertisement for Red Hat Linux. Should that practice be banned too? Because that's done in nearly every major magazine.

      Extend this theory a little farther. A user enters a search for "Mustang", and gets back a link to a website. The user clicks the website, and sees information and advertising regarding both Mustangs and Chevrolets. Is that permissible?

      A trademark is just that - a mark under which a company performs trade. A company that owns a trademark is only entitled to protection that guarantees that no other company sells similar products or services under the same trademark.

      I fail to see how this protection entitles the obstruction of a competitive free market, just to protect some company who can't compete on other fronts.

    4. Re:And who by paganizer · · Score: 5, Insightful

      Remember all the problems Yahoo had with france?
      I think it makes more sense for any information company to block all french government IP's; If a bunch of idiots is going to continually harass and annoy you, don't deal with them.

      --
      Why, yes, I AM a Pagan Libertarian.
    5. Re:And who by jrockway · · Score: 3, Insightful

      I agree with you here. Google and Yahoo are constantly harassed by the French. I would just pull out of the country and tell the government to fuck off. French "law" doesn't apply in the US. If they don't like google, then they can block it.

      --
      My other car is first.
    6. Re:And who by Infinity+Salad · · Score: 3, Insightful
      True, and don't forget that the government can go after you in civil court (an alternative to criminal prosecution are certain kinds of fines).

      In the US, the government relies on private parties to enforce many of its laws ("exporting enforcement" in legal buzz ). This is (partly) why the US has a 'plaintiff friendly' court system that doesn't punish you for an unsuccessful suit (compare to the UK, where the losing party pays lawyer fees). The theory goes that by leaving it to private parties, those who are harmed by the 'illegal' doings will take action and save the gov't prosecution costs, which can in turn be spent on other things.

      Trademark, patent and copyright are interesting hybrid areas where civil parties can get petition the government to get involved and block importation of (possibly confiscate and destroy) patent-busting or trademark/copyright infringing items at the border.

    7. Re:And who by Bob+Uhl · · Score: 3, Funny
      What are they going to do? Invade and shut down the server...

      Well, the French would invade, but their army's visiting his aunt this weekend.

  3. Missing the point of the judgement by jolyonr · · Score: 5, Insightful

    The whole point of the judgement is that Dior (or any other company) couldn't buy adwords on Google targetting the search term 'Louis Vutton' or vice versa. Nothing to do with web tools or other such nonsenese. RTFJ!

    Jolyon

    --


    Please read my Canon EOS tech blog at http://www.everyothershot.com
    1. Re:Missing the point of the judgement by jolyonr · · Score: 5, Funny

      ps. My wife points out it's spelt Vuitton. And enough of my money has vanished in that direction that I really should know the spelling by now.

      --


      Please read my Canon EOS tech blog at http://www.everyothershot.com
    2. Re:Missing the point of the judgement by nacturation · · Score: 4, Interesting

      They should go all out. Now when someone in France searches for Dior, they get only one result, Dior's site along with a note to contact their government to complain if they don't like it.

      --
      Want to improve your Karma? Instead of "Post Anonymously", try the "Post Humously" option.
    3. Re:Missing the point of the judgement by john82 · · Score: 3, Interesting

      What is the scope of this judgement rendered by a French court against an American company? What is the impact outside of France? What constitutes a French company?

      1) Does this only apply if one is using www.google.fr?

      2) What if you are a German citizen using www.google.com from Italy looking for local solutions? If the company you seek has an office in France, does that mean Google is barred from showing you Italian competitors?

  4. No jurisdiction by ee_moss · · Score: 5, Insightful

    How would France have the jurisdiction to affect the way an American company operates?

    1. Re:No jurisdiction by Singletoned · · Score: 5, Insightful
      How would France have the jurisdiction to affect the way an American company operates?

      I'm going to take a wild stab in the dark and suggest that the law will apply to Google's French subsidiary, Google.fr, rather than Google.com.

    2. Re:No jurisdiction by Rakshasa+Taisab · · Score: 4, Funny

      Actually they don't and this won't affect google at all. Google is after all one of the elite companies under the protection of America, World Police.

      --
      - These characters were randomly selected.
    3. Re:No jurisdiction by Not_Wiggins · · Score: 4, Insightful

      I'm going to take a wild stab in the dark and suggest that the law will apply to Google's French subsidiary, Google.fr, rather than Google.com.

      While at first blush that might sound reasonable, it really doesn't have anything to do with jurisdiction.

      For example, so long as Google's servers are hosted in the US, the only thing France could do is block their country from accessing Google's servers, and that isn't going to happen.

      No, I think another well-informed reader hit it on the head: it would make sense to have a policy in place about competitors buying ad words that are the name of the competing company. But the only way that would work is to have the companies themselves police it (ie, do searches and see if someone else is potentially infringing with paid ads).

      At that point it could be brought up in court, but it wouldn't need to involve Google at all; company A can just sue company B saying they're abusing copyrighted names yadda, yadda, yadda.

      --
      Diplomacy is the art of saying, "Nice doggie!" until you can find a rock.
    4. Re:No jurisdiction by Have+Blue · · Score: 4, Interesting

      There is a precedent for this- Yahoo was ordered by a French court to ban Nazi memorabilia from their auctions. These decisions only affect users within the jurisdiction of the law, so only users who can be verified as being in France will not see ads for competitors.

  5. Amazon... by LurkerXXX · · Score: 3, Insightful

    So does that mean Amazon shouldn't be showing what other books people who searched for a certain one also bought? They might be costing a sale of the original book if the add shows a book with similar content they chose instead if it.

    1. Re:Amazon... by LurkerXXX · · Score: 3, Interesting

      FYI, Amanzon has a 'sponsored links' section that is keyed off search terms.

  6. This will fly by spidergoat2 · · Score: 4, Insightful

    Till they figure out that someone typing 'Goodyear' won't be able to see a 'Michelin' ad....

  7. Hmm.... by Misch · · Score: 4, Funny

    Pete and Repeat were sitting on a fence. Pete fell off. Who was left?

    Repeat!

    --

    --You will rephrase your request for me to go to hell. Goto statements are not acceptable programming constructs
  8. Ruling only for LVMH by slashkitty · · Score: 3, Informative

    "The court ordered Google to stop displaying ads for competitors of Louis Vuitton" Don't worry, Google can still advertise competitors of other products.

    --
    -- these are only opinions and they might not be mine.
  9. Wouldn't you be more comfortable elsewhere? by parvenu74 · · Score: 5, Funny

    Oddly enough, when I did a Google search for "French Riviera" I was offered ads for vacationing in Italy and Spain... touche!

  10. Google bans ads that criticize cruise ships by anandpur · · Score: 3, Interesting

    February 13, 2004

    Google bans ads that criticize cruise ships
    By MICHAEL LIEDTKE
    THE ASSOCIATED PRESS

    SAN FRANCISCO - Online search engine leader Google has banned the ads of an environmental group protesting a major cruise line's sewage treatment methods, casting a spotlight on the editorial policies that control the popular Web site's lucrative marketing program.

    Jim Ayers, Pacific Region director for Oceana, said from his Juneau home that he was shocked that Google would censor his group's ads based on corporate bias.

    Washington D.C.-based Oceana said Google dropped the text-based ads displayed in shaded boxes along the right side of its Web page because they were critical of Royal Caribbean Cruise Lines.

    http://juneauempire.com/stories/021304/sta_googl e. shtml

    1. Re:Google bans ads that criticize cruise ships by SlayerofGods · · Score: 3, Informative

      Google bans all ads that criticize someone or something. It's company policiy that they only show ads for something never aginst.
      https://adwords.google.com/select/contentpolicy.ht ml
      "text advocating against any organization or person (public, private, or protected) is not permitted. "

      --

      Technology, the cause of and solution to all of life's problems.
  11. Re:Give me a break! by Peyna · · Score: 4, Insightful

    You missed the point entirely. Google is allowing someone to buy "Vuitton" as a search term, and then permitting their competition or "counterfeits" to be displayed when the trademarked term is searched.

    This has nothing to do with generic search terms.

    --
    What?
  12. Let Google remove their listing entirely by Cr0w+T.+Trollbot · · Score: 5, Insightful
    Let Google completely remove the listing for Louis Vuitton or any other company that sued them from their search engine. Or, for that matter, all the websites of the French government, or even every .fr domain. After all, it's a private company, not a public utility. Despite that, they've become so ubiqitous that I suspect both France and the company's suing them would change their tune rather quickly...

    Crow T. Trollbot

  13. Google should pull out of France by Quattro+Vezina · · Score: 4, Interesting

    There's no reason why Google should have to take this kind of abuse.

    They should shut down google.fr (but keep control of the domain name so no one takes it over), and maybe even block French IPs from accessing the rest of Google.

    --
    I support the Center for Consumer Freedom
  14. dilutions of grandeur by Doc+Ruby · · Score: 3, Informative

    Google doesn't have to stop returning search results of competitor's pages that mention the brand requested by the searches. They just have to stop returning ads purchased by those competitors when the brand is requested. This isn't so surprising: we'd be scandalized if you could just pay Google to return your website among the search results for your competitor. So the paid placement is separated into ads. But we'd also be suspicious if we asked a vendor of both Coke and Pepsi for a "Coke", and they offered us Pepsi instead, or even brought it up as an alternative in the transaction - even though they're entirely free to promote whichever product they stock. The entire issue is whether Google is diluting the association of the brand's unique mark by delivering its competitors with the same association. I'm not sure that just prohibiting mention in even clear ads is the answer. Maybe just returning an ad for the requested brand, prioritized among associated competitors who've purchased placement in clearly marked advertising separate from "non-ad" results. But as consumers, this ruling protects us from "you ask for this, and they give you that" bait & switch.

    --

    --
    make install -not war

  15. Why is this different from...(realities of search) by G4from128k · · Score: 4, Interesting

    If I go to a store and ask for "Louis Vuitton" is it trademark infringement if the sales person also shows me Dior or some other maker's products? I would argue that as long as Google's ads do not mislead the user into thinking that the link is for "Louis Vuitton" then it is no different than a store clerk showing me a competing good.

    All Google is doing is recognizing that people use specific terms to represent generic actions. I may search for "Louis Vuitton" but really intend to look at luxury goods of a wide range of makers -- the trademark name is only being used to find hits in the category. As long as the ads don't pretend to offer something they don't (bait and switch), I would argue that Google is serving the purpose of search.

    --
    Two wrongs don't make a right, but three lefts do.
  16. Re:Self-policing (was: Re:And who) by arkanes · · Score: 5, Insightful

    I don't see whats unethical about this practice. It's called competition - it's not like they're picketing your business or something, they're creating a way for them to gain equal time in customer mindshare. More importantly, you're still ahead, because they're searching for *your* name, but your competitor has to pay to get his name out there. Trademark creep is just as annoying as all the other kinds of creep out there - it's supposed to ensure that you can do business under your mark without the risk of someone else masquerading as you. That's all, it's not supposed to be some sort of stick you can use to beat away competition.

  17. Re:This is idiotic by 1u3hr · · Score: 4, Informative
    This is moronic. Who's to say who's a competitor?

    No, it's not about "competitors", it's about "trademarks". So it's very simple, the French court basically says ads (not searches) can't be targetted at trademarks of another company. So other luggage makers (and especially, those cloning Vuitton) can't pay for their ads to come up on a search for Vuitton. (Though they might turn up in the search results.)

  18. Re:This is idiotic by dabraun · · Score: 5, Insightful

    Except that as a consumer / web searcher when I search for "Louis Vuitton" (not that I have ever even heard of that brand) I *want* to see everything about it and everything like it.

    Seeing ads that are for direct and relevant competitors when searching for a trademarked term makes web searches more useful. Ok, perhaps the trademark holder should always get the first result - but preventing me from seeing competitor's adds ... is just lame.

    Next thing you know they are going to prevent sites that are critical of a brand from buying search terms - i.e. say some site has important dirt on Nike regarding child labor allegations - is it going to be illegal for that site to buy an adword to show up when someone searches for Nike?

    Lame.

  19. Re:Self-policing (was: Re:And who) by Qzukk · · Score: 4, Insightful

    all the courts would have to do is respond to complaints - same way it works now.

    At how many tens of thousands of dollars per complaint?

    a bit unethical.

    Ethical or not, its a near-impossible problem. Google would have to maintain a massive database of every potential competitor for every possible keyword. And then, if I search for "Anderson", whose ads are forbidden from showing up? Does the user want Anderson Accounting? Anderson Computers? Anderson Farms? Anderson Law Firm? Anderson & Samuel Law Firm? Anderson Anderson Anderson & Sons Law firm? You can bet if the wrong law firm showed up, they'd all be lined up to sue.

    --
    If I have been able to see further than others, it is because I bought a pair of binoculars.
  20. Targeting the wrong entity by mintech · · Score: 5, Insightful

    I think Louis Vuitton should not be suing Google, instead, it should be suing the companies who post the adwords that violate trademarks. For example, if Dior decides to have an advertisement appear when someone searches for "Louis Vuitton" then perhaps Louis Vuitton should sue Dior for infringing on their trademark.

    If Dior put a full-page ad in New York Times encouraging people to buy Dior instead of Louis Vuitton, does that mean that the New York Times is responsible for violating the trademark, or would it be Dior?

  21. Simple solution by delmoi · · Score: 4, Funny

    1) block French people from using Google, blame government
    2) Wait for people to overthrow said government
    3) sell advertising indiscriminately, and profit.

    --

    ReadThe ReflectionEngine, a cyberpunk style n
  22. fudge the french by MoFoQ · · Score: 3, Insightful

    The French courts seems to have the wrong impression that it has absolute jurisdiction over anything and everything on the net. Just like the Yahoo/Ebay/Nazi paraphernalia issue.
    They especially don't have jurisdiction if Google does not have any legal business presence in France and they can't really do much to Google otherwise if Google were to refuse (provided Google has no future plans of opening up offices in France). The French don't censor the internet and since they don't have legal presence in France, it's a bit hard to fine them and expect payment. Plus the US courts are probably not going to help the French courts if Bush has anything to say about it, since I'm sure he holds a grudge against the French.

    Man...all this reminds me of that one Halloween ep of the Simpsons. "AHAHAHAHA! No no no, in francias...OHOHOHOHOHOH"

  23. Re:Self-policing (was: Re:And who) by Moofie · · Score: 5, Insightful

    "How else are you supposed to make informed buying decisions?"

    What on earth does making informed decisions have to do with advertising? Advertising is the polar opposite of encouraging people to make informed decisions. The purpose of advertising is to encourage people to make UNINFORMED decisions.

    --
    Why yes, I AM a rocket scientist!
  24. Google is already doing this by Vann_v2 · · Score: 3, Informative

    I just checked. If you search google.fr for "Louis Vuitton" no ads are shown, while both google.com and google.co.uk display some ads.

    So it seems google is complying with the court order using google.fr. It could be the case that nobody bought "Louis Vuitton" ads at google.fr, but that seems particularly unlikely as Louis Vuitton itself is a French company.

  25. Re:Self-policing (was: Re:And who) by jadavis · · Score: 3, Insightful

    To play devil's advocate:

    Company A starts selling a gadget that nobody knows about. It starts an expensive marketing campaign to show how it helps an average person in everyday life. People didn't know the product existed before, but are now very interested in the product.

    Then they search for your creative, trademarked company name in google. Then they see an ad for company B (which cost company B $0.25). Company B is a factory outlet who has no marketing budget. The price from company B is half the price from company A because company A must recoup its marketing costs. Now the consumer buys from company B.

    In this case it doesn't seem fair. Although the alternative (laws controlling advertising more) might be much worse.

    --
    Social scientists are inspired by theories; scientists are humbled by facts.
  26. Then... by Mr.+Underbridge · · Score: 3, Funny
    ...they can march over with a troop of German schoolchildren and watch them cower in fear and surrender.

    C'mon, you don't think Page and Brin could conquor France?

  27. Re:I don't agree. by Minna+Kirai · · Score: 4, Insightful

    So, if I create a fast food restaurant called McDonalds, serving Big Macs and use all the same colors etc, you're okay with that?

    As has already been explained, that would be performing trade under another company's mark, which is exactly (and only) what trademark should prevent.

    But you want it to be illegal for me to tell my friend about a Burger King or Subway around the corner if he asks me where the nearest McDonalds is.