Considered one of the highest settlements ever, Yahoo Inc informed that it would refund money to thousands of advertisers as early as January 2004. However, the agreement would not limit Yahoo’s liability.
Preliminary approval was given to the agreement by the United States District Judge in Los Angles.
Due to this outcome, Yahoo has assured that it would work with others in the industry to come up with an agreement on what constitutes a click fraud.
Miscreants and fraudsters have increasingly used the Pay Per Click scheme to click on their own websites to generate income through PPC programs like Yahoo and Google. Yahoo and Google have earned millions of dollars through these fraudsters and the advertisers have expressed distress over this issue.
Yahoo’s Advertisement revenue was $9.1 billion in the first quarter of 2004 alone.
Speaking to reporters, Yahoo lawyer Reggie Davis mentioned that “We want to keep our advertisers happy,” and that “Whatever credits are owed will be 100 percent forthcoming.”