9th Circ. Won't Revive Yelp Extortion Class Action
Law360, Los Angeles (September 2, 2014, 8:13 PM EDT) -- The Ninth Circuit on Tuesday rejected attempts to revive a proposed class action accusing Yelp Inc. of extorting advertising money from small businesses by manipulating and fabricating reviews, ruling Yelp was allowed to remove or rearrange positive reviews.
The appeals panel found that the plaintiffs failed to allege Yelp had wrongfully threatened economic loss by manipulating user reviews. There was no contractual or statutory right barring Yelp from rearranging reviews, meaning even if Yelp did threaten to repost negative reviews, it did not qualify as extortion, the panel held.
"The business owners may deem the posting or order of user reviews...
Stay ahead of the curve
In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.
Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
Create custom alerts for specific article and case topics and so much more!