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Geico suit against Google reaches court

13 December 2004

The court case between auto insurer Geico and search giant Google is underway in Alexandria, Virginia.
Federal judge Leonie M Brinkema heard opening arguments from both sides on Monday.

Geico, owned by Berkshire Hathaway, sued Google in May for trademark infringement. The insurer claimed that, by allowing competing insurance companies to buy adverts linked to searches for "Geico" and "Geico Direct", Google directed web traffic seeking Geico to its competitors' sites.

Any ruling in the landmark case is likely to face an appeal and the outcome is unclear. If Geico is successful the suit could completely change the way search engines make their money.

Google, the world's most popular search engine, until April prohibited marketers from using other companies' trademarks as keywords if the trademark owner complained. The search engine warned in a filing to the US Securities and Exchange Commission (SEC) in August that possible trademark infringement lawsuits could result following its decision to lift the ban.

Other trademark infringement lawsuits are proceeding against Google, by companies including Rescuecom, a computer-repair company, and American Blind & Wallpaper Factory and there have been similar cases in countries like France and Germany.

"We're well prepared for trial," said Steve Langdon, a spokesman at Google. "Our trademark policy complies with the law and we will vigorously defend against the claims of this suit."

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