Google Inc v Australian Competition and Consumer Commission

The High Court of Australia considered an appeal by Google Inc. against a decision of the Full Court of the Federal Court of Australia, which had upheld findings that Google had engaged in misleading or deceptive conduct in contravention of section 52 of the *Trade Practices Act 1974* (Cth). The Australian Competition and Consumer Commission (ACCC) alleged that Google, through its operation of the Google search engine and its AdWords program, had published or displayed sponsored links containing misleading representations made by advertisers, and that Google had adopted or endorsed these representations.

The central legal issues before the High Court were whether Google, by displaying sponsored links generated by advertisers through its AdWords program, had engaged in misleading or deceptive conduct. Specifically, the court had to determine whether Google adopted or endorsed the misleading representations contained within those sponsored links, and whether the principles applicable to intermediaries or agents could be applied to Google's conduct in this context.

The High Court reasoned that Google, in displaying sponsored links, was acting as an intermediary that did not create or control the content of those links. The court distinguished Google's role from that of a publisher or advertiser, emphasizing that the search engine merely provided a platform for advertisers to display their own material. The court found that Google did not adopt or endorse the representations made by the advertisers in the sponsored links, and therefore did not engage in misleading or deceptive conduct under section 52 of the Act.

Consequently, the High Court allowed Google's appeal, setting aside the orders of the Federal Court and the Full Court. The appeal to the Full Court was dismissed with costs.