Search Engines Win Dismissal of Online Gambling Lawsuit
A lawsuit filed against search engine giants Yahoo and Google in California court was dismissed. The suit, filed by gamblers whose online casino losses totalled more than $100,000, alleged that the companies were liable for damages due to their acceptance of online gambling advertising.
California Superior Court Judge ruled that the Communications Decency Act excuses Internet service providers of varying types from liability caused by the words or actions of third parties that use their service. So, even though Google and Yahoo did at one time run ads for online casinos, they cannot be held responsible for the actions of the casinos.
A second part of the suit, asking for an injunction preventing the Internet companies from accepting gambling ads, was considered a moot point by the judge, as both Yahoo and Google have already stopped accepting gaming ads in the US.
Google and Yahoo, along with Microsoft, negotiated a $31.5 million fine earlier this year to settle charges by the US Department of Justice that each had promoted illegal online gambling sites. The Communications Decency Act does not extend its protection to include the federal government and its criminal laws.
It was a refreshing breath of air for the online gaming industry to hear the decision, as federal prosecutors have plagued the industry with charges filed using outdated and ambiguous laws as a means to persecute the businesses.
