Eurydice - 12:53 am on Feb 15, 2011 (gmt 0)
Yes, there are lawsuits.
1) JCP could sue the SEO company if the tricks were not disclosed. However, I doubt JCP didn't know.
2) The real lawsuit will come from investors. If you hold JCP stock and you find out the company did unethical things that caused your stock to fall, then you have a strong reason to sue the company.
The VPs who approved the deal with the SEO company will likely be fired. They'll never get a job at a major company again. Their careers are ruined.
Google will trace down all of the SEO company's clients and review them. If there are tricks, those too will lose ranking.
When revenues fall, many of the staffers at the SEO company will be fired.