SAN JOSE, Calif. (Legal Newsline) – LinkedIn faces litigation over its November disclosure that it made errors when telling possible advertisers just how effective using its site could be.
Synergy Rx PBM sued LinkedIn on Jan. 21 in San Jose, Calif., federal court. Lawyers at Pomerantz LLP and Wohl & Fruchter filed the case.
It details how ads on LinkedIn are sold auction-style and how the company uses an interface called Campaign Manager that displays impressions, video views and clicks per ad for advertisers.
But it also complains that advertisers did not have access to systems necessary to verify the data. In November, LinkedIn announced inflated metrics for a period of more than two years that potentially impacted more than 418,000 advertisers.
“For example, LinkedIn recorded video views for ads that continued to play off-screen, which would have inflated video view rates (as a LinkedIn spokesperson confirmed),” the suit says.
“In other instances, LinkedIn recorded impressions when members simply rotated their phones.”
These errors went undetected as a result of LinkedIn failing to have appropriate internal auditing procedures, the suit says.