Click fraud refers to a form of Internet misconduct where a person or computer program clicks on an Internet
advertisement either solely to hurt a competitor, or solely to generate pay-per-click revenue for the fraudulent clicker
(and not out of interest in the advertised goods or services).
For example, a company can impose significant costs on a competitor by clicking on the competitor's PPC advertisements in search engines over and over again. In these situations, an advertiser or search engine may rely on principles of unfair competition law, interference law, and trespass law as legal avenues for recourse against click fraud perpetrators.
In pay-per-click advertising, advertisers pay search companies each time a user clicks on an ad displayed by the search company. Publishers who run websites may display these ads, in return for a portion of the pay-per-click revenue. One form of click fraud occurs when the website owner clicks on the ads displayed on his or her own website. The owner of the website can generate significant revenue through this misconduct. In this situation, the website owner has typically breached the contract with the search company displaying the ads. As a consequence, the search company can terminate the contract and sue the website owner for breach of contract.
Kronenberger Rosenfeld has considerable experience in designing creative legal solutions to combat click fraud. To discuss a click fraud matter you may be facing, you can call Kronenberger Rosenfeld at 415-955-1155, ext. 120. Or you can submit your matter to us using our online case submission form.
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