The Latest On ShoeMoney’s AdWords Lawsuit Against A Google Employee
by Jason Kincaid on May 2, 2009

Last month we reported on an interesting trademark case between online marketing guru Jeremy ‘ShoeMoney‘ Schoemaker and a Google employee named Keyen Farrell, who works as an AdWords Account Strategist. Schoemaker is accusing Farrell of violating his trademark by using the word ’shoemoney’ in the ad copy for Farrell’s own site – something that Google prohibits.

AdWords disputes aren’t anything new, but the case is interesting because it involves a Google AdWords employee, who obviously should have been aware of the program’s Terms of Service. And there’s also the possibility that Farrell could have used his administrative access to bypass Google’s filters (which should have caught the trademark).

In the latest developments, Farrell has filed an affadavit stating that he did not know that the word ’shoemoney’ was trademarked, and that he was working through Google’s standard system when he placed his ads, which failed to prevent him from registering the word. In effect, he’s saying that the blame lies with Google, which should have prevented this from happening in the first place. It’s worth noting that when Danny Sullivan attempted to use the word ’shoemoney’ in an ad last month the system rejected it, though it is possible that it was added to the filter database in the time since Farrell began using it.

Farrell’s affadavit also denies any sinister action on his part through administrative access, stating that he never accessed the Google account for Jeremy Schoemaker and/or Shoemoney Media Group, Inc. Farrell and his father, who is also named in the case, are seeking the case’s dismissal for lack of personal jurisdiction (the suit was filed in Nebraska, where neither of them live). The full documents are embedded below.

We’ll be keeping an eye on this one. If Google does admit fault, Schoemaker could potentially name them in the suit, and the discovery process in this case could turn up some interesting details on the way the AdWords program is run, and how much data employees have access to.

11-1 Keyen Farrell Affidavit

10 MTD Brief

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  • silicon valley dropout (@silvaldropout) - May 2nd, 2009 at 3:25 pm PDT

    why does this guy still has a job? this excuse makes no sense at all you got to do better then that buddy.

    • Its pretty amazing to me that Google has not come out with a statement with a clear statement on this.

      Also how does this kid work as a Adwords Account Strategist- someone who advises companies on how to spend money – And claims he did not know better?

      Google needs to come out with a statement.

      • The only truthful statement that they could make would have to admit guilt, better just keep quiet. And Google, please stop being so evil.

  • I think both of them are right , they should blame google !

  • I think you should ask Google’s goats, they probably know all the dirty details that everyone is trying to hide.

  • So this guy thinks he can pin the blame on Google? I guarantee that Google will hang him out to dry before they take the blame.

  • Shoe will make a few millions here..

    • I really doubt millions…

      It is refreshing to see someone stand up for their trademark though against Google profiting off of it.

  • New Shoemoney photo with Google check coming soon!

    This time he’ll have the amount blurred out!

  • Winning is one thing getting anything is another
    My best friend won a multi million dollar lawsuit against the City Of Key West they spend millions NOT paying :) Lawyers win You don’t
    He won years ago and still hasn’t seen a dime
    Google’s tactics?

    • Greetings, Mr. Sullivan.

      May I make a polite suggestion that you familiarize yourself with the keys situated to the left of your keyboard? These symbols are known as “punctuation” and are useful for separating written sentences into distinct phrases or clauses.

      I know this all must be strange and difficult for you. Once you grasp the notion of punctuation, we can try to tackle grammar, spelling, and coherent thoughts.

      Then, after a long and arduous journey, you might one day graduate to being able to post comments online.

      Thank you.

  • The trademark issue is an interesting one, but the damages are small under the Lanham Act. What is the value of his mark anyway? No offense, but probably pretty small.

    What becomes interesting here is twofold: (1) Whether the Google employee acted knowingly or willfully; and (2) Whether he was acting within the scope of his employment, e.g. with proprietary access. If this is the case, I’d like to know if it opens up the possibility for massive damages against Google (can you get punitive damages in a Lanham Act case?. Mike, you were once a fairly competent lawyer. What’s your call on this one?

    On another note, What disturbs me most is a convo I overheard between an friend, and an Adwords account manager years ago at a party, who was bragging that he had access to the keywords lists for some of the most successful lead gen players in the gambling space, (This was in 2003), and that there were many folks on his team, including him, that had their own lead gen sites at the same time in the same space, and that Google subsidized some of their ad spend under the guise of “training”. Makes you wonder how the mysterious keyword prices kept rising to astronomic levels! I sure hope this guy was at Google, using proprietary info, and not only violated TM law, but also ripped off his keyword lists. Gives me pause to consider once again, the “Do No Evil” saying, or whatever they are now claiming is their mantra!

    • You bring up some interesting legal points.

      From what I have read Under the Lanham act it says in “extreme” cases you may be entitled to attorneys fees AND statutory (not punitive) damages of up to 2 million dollars per infringement.

      Now being 4 of the 5 issues Schoemaker has cited in his complaint would qualify for this it just kind of depends on the courts leniency.

      BUT if you look at these papers filed the defendant is trying to get the case moved to the New York Federal Court system which IMO is a BAD MOVE because that is one of the only states where Google has lost trademark cases.

      Schoemaker is in a great position either way.

      I cant wait to see the transcripts of this case.

  • This is just a publicity stunt and no more by Shoemoney.

    He’ll walk away with more traffic to his website because of TC coverage.

    What’s the point of suing for “Shoemoney” trademark. Give me a break its his freaking nickname.

    As far as getting access to keywords on websites. This is no longer rocket science. For $35 per month you can get access to any websites keywords.

  • Love this just because Jeremy actually has the money to see it through! Go Shoemoney, fight for your right!

    D

  • When do we deadpool Google? Apparently, they are now hiring guys who run get-rich scheme websites (check out the site via the affidavit).

  • I applaud Shoe for taking action and hopes he gets everything he deserves out of this one – like some damages and of course the PR and traffic. In fact, I hope he creates a site from this, fills it with AdWords and let’s the traffic even more $ from Google.

    I have a client that is going through a similar issue with a major retailer using their name in AdWords and in Meta data as well. We are meeting with their attorneys this week and this will be a great case to follow to help these special “Internet Attorney’s” know what to do next to earn their take.

    Congratulations Shoe.

  • Having read the defendant’s affidavit; I’m disgusted by Schoemaker’s behaviour. Talk about beating up on the little guy!

    I was planning a pretty big advertising spend with one of his sites in the next quarter. Not anymore. Obviously given his success he won’t be affected too much but this guy is like Metallica, head so far off in the clouds that he’s forgotten how much people down on the ground struggle.

    Suing over three Adwords clicks that netted zero revenue. Incredible.

  • ShoeMoney just creates awesome stuffs…

  • I would think if the guy made money as a result of his ads, those would be factored into any damages at some exponential value, up to the Lanham’s limits. Like “this is income lost” due to the “theft” of the trademark issue, though I’m no attorney. Just sayin.

  • The defendants could win this motion to dismiss. They have very little in the way of contacts with Nebraska (although they have made sales there). If they win, Shoemoney could refile his suit in New York or Connecticutt, but he might not bother.

    If they get a dismissal and Shoemoney doesn’t care enough to go to New York, there will be no pretrial discovery and we’ll probably never know what really happened here.

  • Most notable in the statement is how there is no explanation of how the word “shoemoney” ended up on his list. He says he didn’t know of Shoemoney, yet that term ended up in the text of his ads — and he says that he was relying on Google to have filtered it out.

    Makes no sense. If you didn’t know Shoemoney, then why would you have added that word to your list?

    The only exception would be if Google itself had suggested the term, and it entered into his list that way.

    It’s going to be interesting, because Google’s stayed silent so far but won’t be able to for long. Either or both sides are going to subpoena them for more info on what exactly happened.

    • I don’t think he quite says that he never had heard of Jeremy Shoemaker or the term “shoemoney.” If you read it carefully, what he seems to be saying is that he never knew that “shoemoney” existed as a registered trademark until the lawsuit was filed.

      That he didn’t know it was a trademark is legally important, because that helps establish lack of intent to infringe on the trademark, which can matter in some but not all circumstances.

  • My take is that Google will start to (if they haven’t already) audit AdWords accounts of employees like other industries. Brokerage firms request duplicate statements of employee accounts if they are handled outside of their firm or stipulate to the employee they must trade with their employer for compliance reasons. One intent is to prevent employees from benefiting from “insider information”.

    I might see where the term “shoemoney” appeared as a keyword suggestion, as Danny Sullivan mentions above. However, I’m not certain if the only tool used was “Google suggests”. There are many tools and I think Jeremy has one too.

    Regardless, I don’t see how the trademarked text appeared in an ad unless a keyword insertion tool was used or the user typed it in. Personally, I think using a headline of “Shoemoney” is dumb unless someone has done ROI analysis that proves otherwise. Then again, I would expect an AdWords employee to do testing;-)

    I also know that we’re only seeing the tip of the iceberg in terms of lawsuit information. At this point, I’m not privy to the discovery docs that might answer some of my key questions. I was hoping the “Related Docs” icons above would show submitted Exhibits, but no such luck. We’ll just have to wait and see and filter out the noise.

    The other question I’m asking is if the Google employee made 313K in one year from his site ( ad from previous TC story), why work at Google? I’d be spending my time improving that site and ROI.

  • shoemoney is a turd. I give him credit for duping internet marketers all over the globe into buying his crap, but he’s still a turd.

    why is he a turd? Because he has a network of “authoritative” sites that are built stictly for generating ad revenue. He has no experience in these subjects, doesn’t offer services in the subject area, and doesn’t have any products to sell.

    But i guess if there is a market for idiots, people like shoemoney will be there to take advantage.

    FYI, the trademark filters don’t always catch trademarks when you first load them. I’ve had this happen, where some tm’s were in a batch of files, and it wasn’t pulled until several days later.

    • What’s your problem? Shoemoney does online marketing and has been successful. Yeah, he could be abrasive (for whatever reason) and maybe he hasn’t made your life better. But he is clearly not an idiot and I think he has taken a very clever direction in this situation.

      Most are aware that trademark filters can suspend an advert and notify after a few days. The issue obviously goes deeper here.

      • I think i wrote what my problem with him is.

        • Your point seems to be that shoemoney is a turd. You say clearly why. My point is that your assessment expects too much from online marketing professionals who are not consultants, industry innovators, service providers or merchants. Marketing is marketing and that’s what he does. Someone who has a problem with this seems to have a problem with marketing.

        • I don’t have a problem with marketers.

          I have a problem with affiliate marketers, specifically, those that pay for content to be written in areas they have no knowledge of.

          Hell, while i’m at it, that google employee’s site is ridiculous as well. I really wish could weed out content that is clearly made for the sole purpose of generating ad revenue. I understand people need to make a living, but guys like this go too far.

        • Billy is a retard - May 4th, 2009 at 12:59 pm PDT

          Billy What crack are you smoking?

          ShoeMoney Created

          NextPimp- 700k members first ever ringtone sharing site on the internet

          AuctionAds – Advertising network that sold to Media whiz.

          And many other services.

          Get a clue retard

        • uggg…don’t get me started on ringtones. I’m sure most of the subscribers didn’t realize they were subscribing.

          auctionads? what’s that?

          go away dude.

  • the other part about this suit not mentioned here is that when the guy showed shoemaker his adwords account – he said it looked just like his – ie, same keywords, adgroups etc. This lawsuit isn’t about some guy using his name in an ad – it’s about a guy who he think was completely ripping off his ideas and his work….

  • There is another interesting aspect to this. Several times in the past few months I’ve had to beat Google up because AdWords ads were showing up with “ALL CAPS”, “SUPERLATIVES”, and other instances of things that “WE” can’t get into ads because of Google’s automated mechanisms. I even went so far as to tell the rep that ONLY a Google employee could possibly be doing this — internal corruption at Google?

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