The New York Times (www.nytimes.com) announced on December 13 that a federal judge in Alexandria, Virginia, will hear opening arguments on December 13 in a case that pits Geico against the search engine giant Google (www.google.com). Geico (www.geico.com), the auto insurer owned by Berkshire Hathaway (www.berkshirehathaway.com), sued Google in May for trademark infringement. By allowing competing insurance companies to buy ads linked to searches for "Geico" and "Geico Direct," Geico asserted, Google directs Web surfers seeking Geico to its competitors' sites.
The outcome of the suit is uncertain and any ruling is likely to be appealed. But a final determination will help define how companies in the red-hot Internet search business make their money. The Geico suit against Google also initially named Overture Services (www.overture.com), the Yahoo unit that sells ads on Yahoo's search result screens, but Overture settled the case out of court at the end of November. Terms were not disclosed.
Christine Tasher, a spokeswoman at Geico, said that Geico is committed to protecting its enormous investment in its brand and its trademarks. Steve Langdon, a spokesman at Google, said that Google is well prepared for trial, that its trademark policy complies with the law and that Google we will vigorously defend against the claims of this suit.
