NEW YORK Earlier this month retailer company Bigreds.com filed a lawsuit against Yahoo and Overture, that was picked up by Yahoo in 2003. Bigreds is a business selling collectibles based out of Brooklyn, New York. Between 2002 and 2006 Bigreds used online advetising service Overture Services to create and distribute their pay-per-click ads to Overture and in 2003 also Yahoo affiliates.
Bigreds.com has now directed criticims towards affiliates claiming that the majority of the amount Bigreds had to pay are based on so called bad clicks, caused by affiliates in efforts to earn more comission.
PPC advertising is a common way of online marketing based upon an system where advertisers pay a certain amount for every click on their ad to the publisher. Bigreds used this system through Overture advertising services for many year allowing affiliates to promote Bigreds.com and its products.
The lawsuit further claims that Overture knew about "fraudulent clicks" during 2006 and offered a compensation of $17,000 that was rejected and followed by this lawsuit.