« Fire Up Page Builder for Some Fantastic Results | Google's "Florida" Update Spawns a Hurricane of Ranking Changes »
October 15, 2003
LookSmart Class Action Settlement: You May Be Entitled to Hundreds of Free Clicks or Even a Cash Refund
As some of you may recall, LookSmart infuriated countless customers last year when it announced that it was converting everyone's lifetime listing in the LookSmart catalog to a pay-per-click program. Obviously, people that paid a "one-time" fee of $199 or more for a LookSmart listing were none too thrilled at the idea of having to pay ongoing fees every month. LookSmart informed all of its customers that if they wished to remain listed in the catalog, they would now have to pony up a fee for each click-through they received.
Some "free" click-throughs were provided to existing customers for a period of time as a rather unsuccessful attempt to deflect criticism. As a result, a class action lawsuit was soon filed charging breach of contract, misleading advertising, and fraudulent business practices.
Recently, a proposed settlement has been reached. If you paid a fee to LookSmart for a site review between May 13, 1998 and April 9th, 2002, you may be entitled to hundreds of additional click-throughs. If you paid a fee and canceled your listing with LookSmart after the change in pricing, then you may be eligible for a $50 cash refund. However, those eligible for the cash refund must fill out a claim form by November 14th, 2003 to qualify.
View proposed settlement details here.
Some disgruntled LookSmart customers may take solace in winning a settlement. However, others may recall that LookSmart still managed to add millions to their bottom line that can be attributed to the pricing change and alleged breach of contract. If approved by the Superior Court of California at the end of October, LookSmart's total settlement pay-out would be limited to $250,000.
← What is this?
