Google Sparks Trademark Debate

Googles position also puts it in contrast with major competitor Overture, Yahoo Inc.s search advertising division. Overture, in its trademark policy, states that it allows the use of a trademark as a search term when the ad is an appropriate use of the trademark, such as for comparative advertising or commentary.

Many of Googles larger advertisers with well-known trademarks are likely to protest the policy change despite Google allowing them to request the removal of trademarks from ad text, said Catherine Seda, president of Internet marketing company Seda Communication Inc., in Thousand Oaks, Calif. She also said the change could confuse users by allowing them to search trademarks in keywords but then receive ads that potentially could be barred from containing the actual word searched.

"This latest move seems more confusing for search engine users as well as for trademark owners," Seda said. "All this seems to do is let Google [try to get] off the hook from any trademark infringement claim."

But Seda said she doesnt think the move will steer Google away from future trademark disputes.

Google contends that by allowing keywords to trigger more paid results, it is allowing users to determine which ads are most relevant. Its AdWords program, for example, bases the placement of paid search results both on the advertiser with the highest bid and the click-through rate from users.

"We feel comfortable that we arent likely to confuse users if we allow the ads to be shown," Hagan said. "If theres any possibility of confusion then it would be in the ad text, and thats why we concentrated there."

Editors Note: This story was updated to clarify comments made by Catherine Seda.

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