Electronic Frontier Foundation Studies Regarding Redirection of Search Traffic of U.S. ISP's

The EFF recently published a piece about the redirection of search traffic at a number of US ISPs. The company involved, Paxfire, contacted EFF to discuss its practices. 

Paxfire admits that it sends users' searches through its proxy servers and that while the proxies look at the searches for specific things, Paxfire maintains that it does not retain logs of these queries unless the user is searching for specific trademark terms using the search box in the browser. In those cases, the search and IP address are logged and the user is sent to the brand’s website directly, rather than to the search engine, and Paxfire and the ISP collect a fee for the referral. Lawsuits are probably not far behind...

http://www.eff.org/deeplinks/2011/08/update-paxfire-and-search-redirection