DC Circuit Rules Google, Microsoft, Yahoo Not Liable for Scams

Google, Microsoft and Yahoo aren’t liable for hosting content posted by known scammers, a key appellate court ruled Friday. Citing Section 230 of the Communications Decency Act, a three-judge panel of the U.S. Court of Appeals for the D.C. Circuit sided (in Pacer) with the platforms over a group of 14 locksmiths. The group’s lawsuit claimed the platforms flood search engine results with listings from unlicensed locksmiths to incentivize legitimate locksmiths to pay for preferred listing placement. The platforms aren’t content providers because the information they’re hosting is provided entirely by third parties, the court said, and Section 230 protects computer services from liability. The court is incorrect that the platforms aren’t responsible for the content because they verify scammer locations, said Baldino's Lock & Key’s Mark Baldino. The platforms didn't comment.