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Facebook reached a settlement with a group of users who objected to its making use of user data in 'Sponsored Stories.'

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Facebook’s Sponsored Stories tend to entice users into clicking on them by telling them how their friends have already liked the given link. This, a group of users had argued, violates the privacy of the users. Facebook has now agreed to a $20 million settlement over the whole fiasco.


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The case has dragged on for a while but after prolonged negotiations, the group of users who launched the class-action lawsuit and Facebook seem to have agreed to the terms of a settlement. As per this settlement, Facebook will cough up $20 million out of which $10 each will go to such users who didn’t want their names being used in the ‘Sponsored Stories.’

The federal judge who heard the case was Judge Richard Seeborg. According to him, the terms of the settlement are fair and that both sides seem to have reached them after serious deliberation. That is why he has given the nod for both parties to proceed.

However, some are not very happy with the deal. Among these are the attorneys for Center for Public Interest Law. The nonprofit organization has cited its contention that the settlement doesn’t address the issue of Facebook making use of names or photos of minors in its advertisement.

Attorneys representing the Center have stated that they would continue pursuing the social network until it stops making use of the information of the minors in advertising. The Center wants Facebook to gain explicit permission from the parents to do so, if it must.

Courtesy: Mercury News

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  On December 6, 2012(1 year, 4 months ago.)

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