Valve Angry Over Counter-Strike Subway Ads

Gamepocalypse writes "I noticed over on GamePro that Valve is considering legal action over the Subway ads that Engage In-Game Advertising was pumping into Counter-Strike matches. Valve's Doug Lombardi: 'Advertising or any other commercial use of our games requires our written permission.'" I'm unclear on this: Were the ads actually in the game already, or was the company just saying they were going to put the ads in? If the ads were displayed in-game, how was that done without Valve's knowledge? If the ads weren't in the game ... why would you make a public claim like this without clearing it with Valve first? Odd all around.