Yahoo! Inc. announced it has reached a settlement agreement with Checkmate Strategic Group, will consider refunding money to advertisers dating back to January 2004 and plans pay $4.95 million in attorney fees to settle a class action./ z8 T/ b2 m4 V+ S! C) q: T0 _5 T
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Checkmate Strategic Group filed a lawsuit alleging that Yahoo has been profiting from bogus sales referrals generated through click fraud.
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Yahoo's ad revenue totaled $9.1 billion from January 2004 through March of this year, the Associated Press reported./ s# Z5 P. i) A5 I
9 a" C A. Y! U3 W8 @2 }The AP also noted that some studies have estimated that Yahoo's click fraud rate is 30 percent, a number which Yahoo has disputed. $ i# ^" L$ H6 j6 V7 W( _
* G& _ k6 O% s: @* {# e5 j8 _To address the click fraud concern, Yahoo has initiated a claims system.
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"Yahoo will offer advertisers a one-time extended claims period during which advertisers can submit click fraud claims for clicks dating back through January 2004. If our investigation determines that a credit is due that was not given previously, we will issue a 100 percent credit, which can be used however the advertiser wishes to use it. This claims process will be overseen by a retired Federal judge," according to a Yahoo company statement.: _- Y! K+ z8 W3 d
! E" U5 L- M, W& Z$ oIn March 2006, Yahoo competitor Google agreed to pay $90 million to settle a lawsuit alleging the company, along with other web search companies, billed advertisers for false customer leads. |
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