Google must face class action over kids' in-apps purchases

WASHINGTON Tue Jul 22, 2014 11:38pm IST

Attendees sits in front of a Google logo during Google I/O Conference at Moscone Center in San Francisco, California June 28, 2012. REUTERS/Stephen Lam/Files

Attendees sits in front of a Google logo during Google I/O Conference at Moscone Center in San Francisco, California June 28, 2012.

Credit: Reuters/Stephen Lam/Files

Related Topics

Stocks

   

WASHINGTON (Reuters) - Google Inc (GOOGL.O) must face a class action lawsuit filed by a U.S. woman whose son had bought online videogame items without her consent, a federal judge ruled late on Monday as he turned down the company's request to dismiss the action.

The case, which accuses Google of breaking various laws regarding fair dealing with consumers, can go forward, Judge Ronald Whyte ruled late on Monday in the U.S. district court in San Jose.

He denied Google's motion to dismiss portions of the case that alleged its advertisements were "unfair, deceptive or misleading." He also denied motions to dismiss allegations that Google breached the "duty of good faith and fair dealing."

Whyte dismissed other parts of the lawsuit, but said he would allow them to be refiled if they are amended.

Google had asked the judge to dismiss the case entirely.

In the lawsuit, the parent said she had created a Google Play account for her Samsung Galaxy tablet and connected it to her debit card. She then used her password to download and pay for a 99-cent game known as "Marvel Run Jump Smash."

But her password remained open for 30 minutes after the download and during that time, her child, whose age was not disclosed, racked up $65.95 in purchases within apps, the lawsuit said.

The Federal Trade Commission settled a similar case with Apple Inc (AAPL.O) in January and filed a lawsuit against Amazon.com (AMZN.O) in July related to allegations that children sometimes accumulated hundreds or even thousands of dollars in charges that parents did not authorize because of inadequate controls put in place by the companies.

The FTC has not said if it is investigating Google for similar practices.

(Reporting by Diane Bartz, editing by Ros Krasny and Richard Chang)

FILED UNDER:

Sony Cyber Attack

REUTERS SHOWCASE

Exit Polls

Exit Polls

BJP unlikely to form Jammu & Kashmir govt - polls.  Full Article 

Forceful Conversions

Forceful Conversions

BJP distances itself from religious conversions.  Full Article 

Photo

Fund Raising

Flipkart raises $700 million in fresh funding.   Full Article 

Reforms Push

Reforms Push

Modi may order insurance, coal reforms if vote delayed - officials.  Full Article 

Economic Pulse

Economic Pulse

Crank up public spending to revive growth - chief economic adviser.  Full Article 

Reuters Exclusive

Reuters Exclusive

India looks to sway Americans with nuclear power insurance plan  Full Article 

Down Under

Down Under

Magic Johnson inspires Australia to second test win.  Full Article 

Going International

Going International

Bollywood’s Priyanka Chopra sets sights on American TV.  Full Article 

India This Week

India This Week

Some of our best photos from this week.   Full Coverage 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device   Full Coverage