Facebook parent Meta has agreed to pay $725 million to resolve a class action lawsuit that accused it of allowing third parties, including Cambridge Analytica, to access users' personal information, ABC News reports.
The proposed settlement was disclosed in a US court filing late on December 22. It resolves a long-running lawsuit in the wake of 2018 revelations that the social media giant allowed British political consulting firm Cambridge Analytica to access the data of up to 87 million users.
Lawyers for the plaintiffs reportedly called the proposed settlement the largest to ever be achieved in a US data privacy class action. It is the most that Meta has ever paid to resolve a class action lawsuit.
"This historic settlement will provide meaningful relief to the class in this complex and novel privacy case," Derek Loeser and Lesley Weaver - lead lawyers for the plaintiffs - said in a joint statement.
Meta did not admit wrongdoing as part of the settlement, which is subject to the approval of a federal judge in San Francisco.
In a statement, Meta said that settling was "in the best interest of our community and shareholders."
"Over the last three years we revamped our approach to privacy and implemented a comprehensive privacy program," it said.
The now-defunct Cambridge Analytica worked for Donald Trump's successful presidential campaign in 2016 and gained access to the personal information from millions of Facebook accounts for voter profiling and targeting.
The company reportedly obtained the information without the users' consent from a researcher. Facebook had allowed the researcher to deploy an app on its social media network that harvested data from millions of its users.
The Cambridge Analytica scandal that followed prompted government investigations into its privacy practices, lawsuits and a high-profile US congressional hearing where Meta chief executive Mark Zuckerberg was questioned by lawmakers.
In 2019, Facebook agreed to pay $7.4 billion to resolve a Federal Trade Commission probe into its privacy practices and $149 million to settle US Securities and Exchange Commission claims that it misled investors about the misuse of users' data.
Investigations by state attorneys-general are reportedly ongoing, and the company is fighting a lawsuit by the attorney-general for Washington DC.
The December 21 settlement resolved claims by Facebook users that the company violated various federal and state laws when it let app developers and business partners harvest their personal data without their consent on a large scale.
The users' lawyers alleged that Facebook misled them into thinking they could maintain control over their personal data. In fact, it allowed access to thousands of preferred outsiders.
Facebook has argued that its users have no legitimate privacy interest in the information they shared with ‘friends’ on social media.
US District Judge Vince Chhabria, however, reportedly called that view "so wrong" and, in 2019, largely allowed the case to move forward.
Source: ABC News
(Quote via original reporting)
Facebook parent Meta has agreed to pay $725 million to resolve a class action lawsuit that accused it of allowing third parties, including Cambridge Analytica, to access users' personal information, ABC News reports.
The proposed settlement was disclosed in a US court filing late on December 22. It resolves a long-running lawsuit in the wake of 2018 revelations that the social media giant allowed British political consulting firm Cambridge Analytica to access the data of up to 87 million users.
Lawyers for the plaintiffs reportedly called the proposed settlement the largest to ever be achieved in a US data privacy class action. It is the most that Meta has ever paid to resolve a class action lawsuit.
"This historic settlement will provide meaningful relief to the class in this complex and novel privacy case," Derek Loeser and Lesley Weaver - lead lawyers for the plaintiffs - said in a joint statement.
Meta did not admit wrongdoing as part of the settlement, which is subject to the approval of a federal judge in San Francisco.
In a statement, Meta said that settling was "in the best interest of our community and shareholders."
"Over the last three years we revamped our approach to privacy and implemented a comprehensive privacy program," it said.
The now-defunct Cambridge Analytica worked for Donald Trump's successful presidential campaign in 2016 and gained access to the personal information from millions of Facebook accounts for voter profiling and targeting.
The company reportedly obtained the information without the users' consent from a researcher. Facebook had allowed the researcher to deploy an app on its social media network that harvested data from millions of its users.
The Cambridge Analytica scandal that followed prompted government investigations into its privacy practices, lawsuits and a high-profile US congressional hearing where Meta chief executive Mark Zuckerberg was questioned by lawmakers.
In 2019, Facebook agreed to pay $7.4 billion to resolve a Federal Trade Commission probe into its privacy practices and $149 million to settle US Securities and Exchange Commission claims that it misled investors about the misuse of users' data.
Investigations by state attorneys-general are reportedly ongoing, and the company is fighting a lawsuit by the attorney-general for Washington DC.
The December 21 settlement resolved claims by Facebook users that the company violated various federal and state laws when it let app developers and business partners harvest their personal data without their consent on a large scale.
The users' lawyers alleged that Facebook misled them into thinking they could maintain control over their personal data. In fact, it allowed access to thousands of preferred outsiders.
Facebook has argued that its users have no legitimate privacy interest in the information they shared with ‘friends’ on social media.
US District Judge Vince Chhabria, however, reportedly called that view "so wrong" and, in 2019, largely allowed the case to move forward.
Source: ABC News
(Quote via original reporting)