Court rules for Yelp in suit over online ratings

A federal appeals court says online review site Yelp can lower or raise the rating of a business depending on whether it advertises with the company.

Yelp has denied it does that, saying it uses an automated system to cull reviews that determine ratings.

The 9th U.S. Circuit Court of Appeals ruled on Tuesday in a lawsuit that even if Yelp manipulated reviews to penalize businesses, the practice would not constitute extortion.

The court said businesses do not have a right to positive reviews on Yelp, and that the San Francisco-based company can seek payments for its advertising.

The ruling upheld a lower court decision that dismissed the lawsuit brought by several . Lawrence Murray, an attorney for the plaintiffs, said they have not decided whether to appeal.

© 2014 The Associated Press. All rights reserved.

Citation: Court rules for Yelp in suit over online ratings (2014, September 4) retrieved 19 April 2024 from https://phys.org/news/2014-09-court-yelp-online.html
This document is subject to copyright. Apart from any fair dealing for the purpose of private study or research, no part may be reproduced without the written permission. The content is provided for information purposes only.

Explore further

Yelp to alert consumers on fake reviews

0 shares

Feedback to editors