Over at Adotas, Jordan Glogau raises an interesting theory on why the “Lane’s Gifts” lawsuit was settled for such a paltry amount.
Glogau suggests the suit was in jeopardy because it wasn’t filed in California, as required in Google’s T&Cs.
So why did Google change its mind and decide to settle in Arkansas? That is simple, the terms are totally one-sided in Googleâ€™s favor. Because Google was about to have the case against it dismissed based on the fact that it was in the wrong venue, it forced Laneâ€™s Giftsâ€™ lawyers into a bad deal. Googleâ€™s lawyers figured they could give a small amount of cash to these lawyers and limited refunds to the advertisers.