False advertising lawsuit against ValueClick tossed
ADOTAS — The online advertising company has been whacked before because of its advertising practices, but not this time.
A California judge this week threw out a $45 million false advertising lawsuit against ValueClick that was brought by Internet service provider Hypertouch under a state law barring false and misleading commercial emails, according to Reuters. Hypertouch had accused the defendants of “using spam email ads with fraudulent and misleading headers, often to randomly generated, harvested or stolen email addresses,” but the judge ruled that it didn’t have enough evidence to prove its allegations.
Last year, ValueClick agreed to a $2.9 million settlement with the Federal Trade Commission over allegations that it used deceptive marketing practices in violation of the CAN-SPAM and FTC Act. In addition, according to Ars Technica, ValueClick and its subsidiaries settled a lawsuit with publishers and advertisers that worked with it. That lawsuit alleged that ValueClick had allowed adware creators to hijack commissions from other advertisers.
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