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Ad Scams on Facebook Worth $5 Million, Claims Lawsuit
The recent social-network-scam-gate so lovingly exposed by TechCrunch founder Michael Arrington has finally come home to roost -- or at least that's what a Sacramento law firm hopes. Kershaw, Cutter & Ratinoff has filed a federal class-action lawsuit against both Zynga (the primary game-maker that allowed shady businesses to offer virtual currency in exchange for peoples' promises to sign up for programs that they didn't understand and which cost them more money than they realized) and Facebook, through which Zynga's games reached a widespread audience. At stake: $5 million. Despite the fact that the dubious actions in question originated from neither company, both, claims the suit, were complicit in their continued profiteering, and themselves made large amounts of money in the process. Proving that Palo Alto-based Facebook was knowingly in on the action could provide some courthouse drama. Perhaps “The Social Network,” now filming, will want to save space at the end for a postscript. Read the entire court filing at Valleywag. Email This Post |
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