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Class-Action Suit Alleges Yelp is Running an 'Extortion Scheme'

By AAN Staff
february 25, 2010  08:48 am
Class-Action Suit Alleges Yelp is Running an 'Extortion Scheme'
Two law firms have filed a class action lawsuit in Los Angeles federal court alleging unfair business practices by the popular user-generated review site. The suit's plaintiff, a veterinary hospital, allegedly requested Yelp remove a negative review from the website. The suit says the company refused to do so, a move that was followed by repeated calls from Yelp sales reps demanding payments of roughly $300 per month in exchange for hiding or deleting the review. The East Bay Express explored similar charges in-depth last year. Yelp denied everything in the Express' coverage, and went as far as to attack the reporter for being inaccurate. Regarding the class-action suit, a Yelp representative calls the allegations "demonstrably false" and says the company will "dispute [the suit] aggressively."
View full article at TechCrunch
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