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June 2, 2004 11:59 AM PDT

Judge rules to move Google, Digital Envoy case

A U.S. district court granted Google's motion to transfer a lawsuit filed by business partner Digital Envoy from Georgia to its home state of California. The Northern District Court of Georgia, which ruled on May 21, also denied Google's motion to dismiss the case.

The ruling could be a setback for Digital Envoy, which filed suit against Google on March 29 for allegedly misappropriating its technology. Digital Envoy licenses software to Google for pinpointing Web surfers' physical location and delivering local and sponsored search results. The Georgia-based company claims that Google overstepped the two companies' licensing agreement when it used the technology for serving search results on third-party sites. Mountain View, Calif.-based Google filed a countercomplaint against Digital Envoy on April 16 in the Northern District Court of California, asking for declaratory judgment that it did not misuse its technology license.

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