Google, Texas clash over upcoming digital advertising antitrust trial

Alphabet’s Google GOOG is sparring with Texas and other states over the contours of an upcoming trial that could expose the technology giant to more than $100 billion in penalties over its alleged dominance in the digital advertising market.

The two sides submitted dueling demands on Tuesday to U.S. District Judge Sean Jordan in the federal court in Plano, Texas, asking to restrict certain information from jurors at the Aug. 11 trial, including about the potential payout for the states and Google's wealth.

Texas and more than a dozen other U.S. states sued Google in 2020, accusing it of illegally dominating advertising markets and violating laws against deceptive trade practices.

The trial comes after a federal judge in Virginia sided with the U.S. Justice Department in a different case in April, ruling that Google had unlawfully dominated the market for online advertising technology.

Google did not immediately respond to a request for comment, and a lead attorney for Texas had no immediate comment.

Google has denied any wrongdoing and argued the online advertising market is competitive.

Texas’ lawyers asked Jordan to bar any discussion of the amount or magnitude of the civil penalties sought by the plaintiffs.

Texas also said Google should be barred from referencing any legal fee agreements between the state and its outside law firms Lanier Law Firm and Keller Postman.

“Such evidence is irrelevant and unfairly prejudicial, and is likely to confuse the issues, mislead the jury, and be a waste of time,” the state's lawyers told the court.

The plaintiffs also want to stop Google from identifying any of the states involved in the lawsuit as “red” or “blue” or otherwise note their political leanings.

Google in its new court filing said the states should be barred from mentioning other lawsuits or settlements involving the company.

The tech giant also said jurors should be prohibited from hearing any evidence about Google’s wealth, size and financial condition.

Google separately has asked Jordan to push back the August trial until after a final judgment in the Justice Department's case in Virginia. A trial on the remedies in that case is scheduled to start on Sept. 22.

The Texas plaintiffs said they are opposed to any delay.

The case is State of Texas et al v. Google LLC, U.S. District Court for the Eastern District of Texas, No. 4:20-cv-00957-SDJ.

For plaintiffs: W. Mark Lanier of The Lanier Law Firm; and Ashley Keller of Keller Postman

For defendant: Eric Mahr of Freshfields Bruckhaus Deringer; Daniel Bitton of Axinn Veltrop & Harkrider; and R. Paul Yetter of Yetter Coleman

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