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Apr. 17, 2008 at 8:50am Eastern by Barry Schwartz

Yahoo Advertiser Sues Over Click Fraud For $1 Million

Internet retailer sues Yahoo for $1 million from ComputerWorld reports Bigreds.com has sued Yahoo for over $1 million for click fraud.

The online retailer of collectibles claims Yahoo has charged them over $936,000 between 2002 and 2006 for clicks received via Yahoo/Overture affiliates. Bigred is seeking over $1 million in damages and penalties.

The bulk of the retailer's issue is that he is not happy that he received clicks from Overture affiliate sites. These sites are typically parked domains that contain ads from Yahoo or, back then, Overture. The retailer claims the source of the clicks were not from legitimate users.

Bigreds filed suit in a U.S. District Court for the Eastern District of New York earlier this month. Reportedly, Yahoo offered Bigreds a $17,000 refund and had admitted that the clicks were invalid.

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By Barry Schwartz Permalink Jump To Comments See Related Stories In: Legal: Clickfraud, Yahoo: Legal, Yahoo: Search Ads



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