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Facebook users close in on sponsored stories settlement

Some social networkers were not keen on sharing their Likes
Tue Dec 04 2012, 10:37
A Facebook logo

SOCIAL NETWORK Facebook is close to settling a class action lawsuit over its use of user images and data in adverts.

The proposed settlement will see Facebook pay $10 to each aggrieved user that has complained about their unwilling involvement. The social network has set aside a pot with $20m in cash to cover this.

Last Summer Facebook offered to pay half as much money to charity in order to settle the complaint. However, a judge rejected this proposed settlement. In October it came up with a better offer, and both parties and the judge appear to be amenable to it.

District Judge Richard Seeborg wrote that he could see "no obvious deficiencies" in the settlement, and said it "appears to be the product of serious negotiations", according to a report at the San Jose Mercury News. We've asked Facebook to comment.

Five people complained about the use of their imagery, but Facebook will have to pay off many more than that with its settlement.

However, in the whole scheme of things considering the value of data, the importance of advertising, and the fact that Facebook could offer firms connections between friends and be paid for it, we imagine that Facebook will probably file the $10 a head payout under 'chump change'. µ


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