Facebook Inc. (FB) (FB), the world's largest social-networking website, won a court ruling denying cost-per- click advertisers the ability to sue as a group for alleged overcharging.
U.S. District Judge Phyllis Hamilton in Oakland, California, said in an order today the advertisers hadn't shown that their claims have enough in common to justify certifying the lawsuit as a class action, or group, case.
Facebook was sued in 2009 over claims that advertisers, charged based on the number of clicks or views they receive, were wrongfully charged for non-existent, fraudulent or invalid clicks.
The plaintiffs were advertisers that contracted with Menlo Park, California-based Facebook through an automated self- service process available to the general public. They sought to represent all cost-per-click advertisers that paid money to Facebook from May 2009 to the present.
Class certification allows plaintiffs' lawyers to work together, giving them more leverage to gain a settlement or victory at trial.
The case is In Re Facebook PPC Advertising Litigation, 09- 3043, U.S. District Court for the Northern District of California (Oakland).
To contact the reporter on this story: Karen Gullo in San Francisco at kgullo@bloomberg.net
To contact the editor responsible for this story: Michael Hytha at mhytha@bloomberg.net
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