Tuesday, October 21, 2008

Yahoo Sued By American Airlines

This is the one of worst lawsuits you can imagine. American Airlines is suing because ads for competitors happen to show up next to search results for American Airlines on Yahoo.

Imagine this scenario, you head to a travel agency, and you want to fly to Borneo. The agent happens to have sales ads for northwest Airlines right next to an ad for American Airlines, should the sue the travel agent? BECAUSE IT IS THE EXACT SAME THING!

Any company anywhere could set up a website and wait for their website to show up in a search result with a competitor and sue, it's the worst kind of precedent to set.

Google was sued by American Airlines last year, and settled quietly. I hope Yahoo stands up to this bullying crap. I suppose American Airlines could always instead focus on running its' business and improving its' product?
Eric Goldman, an associate professor of law at Santa Clara University School of Law and director of the school's High Tech Law Institute, said he was surprised by the lawsuit and predicted that the two sides will reach a settlement.

Read the full story at Cnet.

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