FACEBOOK users are finally being handed cash payments under a record-breaking $725 million payout for a privacy breach settlement.
Following major delays, the one-time checks worth roughly $30 are going out to eligible class members.
Facebook’s parent company was sued back in 2023 over allegations of a privacy breach for its users[/caption]
Eligible class members are finally receiving compensation from the Meta class action lawsuit[/caption]
Americans are finally receiving compensation from a $725 million class action settlement filed against Meta Platforms Inc., Facebook’s parent company, back in 2023.
Facebook users sued, alleging that the company made their data available to third parties without consent.
The lawsuit also claimed that Facebook failed to monitor or enforce third-party access to the data they received.
One of the notable third parties that accessed the information was the now-defunct political consulting firm Cambridge Analytica, which used the data for political advertising on Facebook.
While payments were delayed due to appeals filed after the settlement’s initial approval in 2023, the lawsuit was finalized in May this year, per the settlement website.
Angeion, the company handling the settlement’s administration, originally announced that checks would go out in August.
However, the company confirmed that payment distributions started on September 3 and are expected to continue going out over a period of about ten weeks.
Claimants should receive a notification email a few days before their payment is issued.
Class members include those who were a Facebook user in the US at any point from May 24, 2007, to December 22, 2022.
The settlement guidelines were updated prior to the claim deadline of August 25, 2023, to include even more users, expanding eligibility to those with Facebook accounts during the set dates that are now deleted.
HOW MUCH WILL I RECEIVE?
Although the Facebook settlement fund stands at a whopping $725 million, around 28 million people filed claims to get a piece of the pot.
“As far as we can tell, that’s the largest number of claims ever filed in a class action in the United States,” Lesley Weaver, co-lead counsel for the plaintiffs, previously said in a statement.
Once legal and administrative fees are taken out, what is left is being divided among the individuals with valid claims – although it’s not being divvied up equally.
Each class member’s check is dependent on how long they were a Facebook user, with a points system in place.
What’s a class-action settlement?
Class action lawsuits offer groups of people, or ‘classes,’ a way to band together in court.
These suits are often brought by one or a few people who allege a company or other entity has wronged a large group of people.
When a suit becomes a class action, it extends to all “class members,” or people who may have similar complaints to those who filed the suit.
Companies often settle class actions – offering payment to class members who typically waive their right to pursue further legal action by accepting money.
These payout agreements frequently include statements by the defendant denying wrongdoing. Companies tend to settle class actions to avoid the costs of further litigation.
Pollution, discrimination, or false advertising are a few examples of what can land a class action on a company’s doorstep.
Users received one point for each month they had an active Facebook account between May 2007 and December 2022, with more points resulting in a larger payment.
In addition to the length of Facebook usage, the number of overall claimants will have an impact on the payment size for each individual.
While these factors make it tough to determine exactly how much each class member will get, lawyers estimated in 2023 that the median payment would be $30.
The eight named plaintiffs who represented all Facebook users in the class action settlement will each receive $15,000.
Check out these open class action settlements that you may be able to receive compensation from.
For example, snackers could get up to $360 in a $6.94 million “vending machine” settlement if they file a claim by October 17.
Plus, Americans can get up to $5,000 from a banking data breach settlement if they meet the September 15 deadline.
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