A lawsuit claiming Microsoft’s LinkedIn of misrepresenting the number of individuals who watched video advertising in order to overcharge hundreds of thousands of advertisers was rejected by a federal judge in the United States.
While certain LinkedIn assertions may have been false, the plaintiffs failed to prove that their legal remedies were insufficient before filing a lawsuit under two California statutes that only provided equitable remedy such as restitution, according to a judgement issued on Monday by U.S. Magistrate Judge Susan van Keulen.
The judge in San Jose also ruled that LinkedIn had no implicit responsibility to offer correct ad analytics, noting the company’s warning that it was not liable for click fraud or other illegal third-party activities that may impact ad pricing.
Advertisers in the proposed class action accused LinkedIn of inflating its analytics by counting video ad views from users’ LinkedIn applications, even when videos played just off-screen because users scrolled past them.
The case was filed after LinkedIn said in November 2020 that its engineers had corrected software issues that may have resulted in over 418,000 overcharges, most of which were less than $25. LinkedIn claimed it gave credits to almost all of the advertisers that were impacted.
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Some of the marketers’ claims were rejected in August. The complaint brought by marketers TopDevz Inc. of Sacramento, Calif. and Noirefy Inc. of Chicago was dismissed with prejudice on Monday, meaning it cannot be raised again. The headquarters of LinkedIn is in Sunnyvale, California.
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