First Service Credit Union has taken legal action against a tech giant, alleging monopolistic practices and unfair competition. On September 24, 2024, First Service Credit Union filed a complaint in the Superior Court of California, County of Santa Clara, accusing Google LLC of violating the Cartwright Act and engaging in unfair business practices.
The case revolves around First Service Credit Union's allegations that Google has established an illegal monopoly over the search advertising market. According to the complaint, Google's dominance in this sector leaves advertisers with no choice but to adhere to its policies and pricing. The plaintiff claims that Google's control over search access points on electronic devices effectively eliminates competition from rival search engines, forcing advertisers to comply with Google's terms or face exclusion from the market.
First Service Credit Union further alleges that Google wields "unfettered" control over internet content and advertising, impacting billions of users worldwide. The credit union contends that Google's anticompetitive behavior suppresses competition by manipulating ad inventory and auction dynamics while providing subpar services due to a lack of viable alternatives for advertisers.
The dispute escalated when First Service Credit Union's account was suspended by Google following changes made by a third-party vendor, Americaneagle.com (AE), on July 29, 2024. Despite efforts to rectify the situation through multiple appeals and audits conducted by AE and other experts, Google repeatedly denied their requests without providing specific reasons or guidance. This prolonged suspension has allegedly caused significant financial harm to First Service Credit Union.
In response to these grievances, First Service Credit Union is seeking compensatory and consequential damages, as well as treble damages under antitrust laws. Additionally, they are requesting declaratory relief affirming their right to advertise on Google's platform or clarity on necessary actions to lift the suspension. The credit union also seeks injunctive relief to prevent Google from continuing its alleged anticompetitive conduct.
Representing First Service Credit Union is attorney Cathy K. Robinson from Wright, Finlay & Zak LLP. The case is being heard in front of Judge J. Nguyen under Case No. -10V447987.