[netcan]

Not exactly the same thing. Spoofing you comp's trade name is pretty much the definition of trademark violation.

It (Google's policy) flops around a bit. It differs between countries and seems to get tweaked or turned over every so often. I believe in the US bidding restrictions on trademarked terms were recently removed. But you are still restricted in using trademarked terms in ads.

Personally, I agree that restrictions (bidding on trademarked terms) should be removed. I would compare it to handing out flyers on the street outside you competitions' shop. Tasteless maybe, but shouldn't be illegal. Companies don't own the search results, trademark or not any more then they own the street.