On May 16, 2024, Google made a strategic move by delivering a cashier’s check for $2,289,751 to the US Department of Justice (DOJ), Business Insider reports.
The payment was made to cover damages for one of the five claims brought against the company in a wide-ranging antitrust lawsuit targeting Google’s advertising practices. This payment not only settled the damages but also ensured the case would not go before a jury, shifting the trial to a bench trial where a judge alone decides the outcome.
The DOJ, along with 18 states, has accused Google of maintaining an illegal monopoly in the digital advertising market, using its dominance to stifle competition and inflate prices. This trial, currently underway, follows an earlier antitrust case where Google was found to have monopolized the search market. In this case, US District Judge Leonie Brinkema will determine whether Google’s control over digital ads violates the law.
Of the five charges against Google, only the fifth required a jury because it sought monetary damages. The first four counts aimed for “injunctive relief,” meaning they could result in changes to Google’s business practices. The damages claim, however, revolved around how much eight federal agencies overpaid for ads through Google’s platform between 2019 and 2023. According to the DOJ’s experts, this amount, when trebled under the Sherman Act, totaled $2,289,751.
Google, however, moved to avoid a potentially unpredictable jury trial by paying the damages upfront. The company’s lawyers argued that it was cheaper to settle this count than to face the expenses of further litigation. They emphasized that the payment “streamlined” the process, allowing the case to proceed without the need for a jury.
The DOJ initially pushed back, arguing the damages should be decided by a jury and questioning Google’s calculation of the amount. However, Judge Brinkema sided with Google, stating the amount came from the DOJ’s own calculations. She further noted that the cashier’s check made the damages claim moot, and thus, the trial would proceed without a jury.
By avoiding a jury trial, Google eliminated the uncertainty that could arise from public sentiment against large tech companies. This move marks a tactical victory for Google in its legal battle over alleged antitrust violations.
While the DOJ has not commented further on the matter, Google expressed satisfaction with the decision.
“DOJ’s contrived damages claim has disintegrated,” the company said in a statement at the time.
