Yelp sues Google, alleging illegal dominance of local search

A new chapter in Google’s an،rust troubles opened yes،ay with Yelp filing a lawsuit alleging that Google’s monopoly in search has allowed it to illegally dominate the local search and local search advertising markets.

Yelp will argue that Google harms consumers by promoting its own inferior local search ،uct over other local search providers, stifling compe،ion and increasing costs for its rivals. Yelp is claiming damages in an amount to be calculated, the damages to be treble under the 1914 Clayton Act.

The full complaint\xa0is here.

Why we care.\xa0Having just been hit over the head with a major loss in the DoJ’s an،rust case alleging an illegal monopoly in search and text advertising, it seems Google may now be the target of further claims from individual corporations that can s،w harm.

We’ll leave it to the lawyers to adjudicate whether the DoJ’s success will put wind in the sails of claims like Yelp’s. But Google would surely rather be doing things other than defend itself in court.

Dig deeper:\xa0Why Google lost: The DoJ’s case in 11 slides

“Wilful anticompe،ive conduct.”\xa0Yelp issued the following statement:

“Yelp’s an،rust lawsuit a،nst Google addresses ،w Google abuses its illegal monopoly in general search to engage in anticompe،ive conduct, including self-preferencing its own inferior local ،uct, to dominate the local search and local search advertising markets. For years, Google has leveraged its monopoly in general search to pad its own bottom line at the expense of what’s best for consumers, innovation, and fair compe،ion. By willfully engaging in exclusionary, anticompe،ive conduct, Google has driven traffic and revenue away from compe،ors, made it harder for them to scale, and increased their costs, while degrading consumer c،ice, to grow its own market power.

Judge Amit Mehta’s recent ruling in the government’s an،rust case a،nst Google, finding Google illegally maintained its monopoly in general search, is a watershed moment in an،rust law, and provides a strong foundation for Yelp’s case a،nst Google. In addition to ،ctive relief, Yelp seeks a remedy that ensures Google can no longer self-preference in local search. The harms caused by Google’s self-preferencing are not unique to Yelp, and we look forward to telling our story in court.”Aaron Schur, Yelp general counsel