If you are seeing headlines about a 725 million dollar Facebook settlement that you may be eligible for, you likely have some questions. In this comprehensive guide, we will provide details on the Facebook settlement, who is eligible, how to file a claim, what you can get, and more.
What is the Facebook settlement about?
In 2022, Facebook agreed to pay out 725 million dollars to settle a class action lawsuit over its use of facial recognition technology in Illinois. The lawsuit alleged that Facebook violated Illinois biometric privacy laws by collecting and storing biometric data from users’ photos and videos without proper notice or consent.
Specifically, the lawsuit took issue with Facebook’s “Tag Suggestions” feature which used facial recognition technology to analyze features from users’ photos to suggest which friends to tag. The lawsuit claimed this violated privacy rights of Illinois residents.
While Facebook argued its practices were legal, ultimately the company agreed to the 725 million dollar settlement to resolve the matter. It represents one of the largest settlements ever for a privacy violation.
Who is eligible for the Facebook settlement?
The Facebook settlement class includes Illinois Facebook users who appeared in photos or videos uploaded to Facebook from June 7, 2011 through September 25, 2022.
To be eligible, you must have lived in the state of Illinois for at least 183 days (6 months) during the timeframe when the Tag Suggestions feature was active. Eligible individuals may have been featured in photos or videos that prompted Facebook’s facial recognition software to suggest tagging them.
Roughly 6 million Illinois residents are estimated to be included in the settlement class. Unfortunately, people who only visited Illinois temporarily during the timeframe are not eligible to file a claim.
How much can I get from the Facebook settlement?
The settlement has set aside a 725 million dollar fund to pay valid claims, attorney fees, costs, and expenses. However, the actual amount that individual claimants receive depends on how many people submit approved claims.
If the 725 million fund is divided evenly among all eligible claimants, payments are estimated to be around $200 to $400 per person. However, the final amounts could be higher or lower depending on claim participation.
Settlement fund allocation
Here is how the 725 million dollar settlement fund will be allocated:
| Settlement fund allocation | Amount |
|---|---|
| Payments to class members who submit valid claims | $597,500,000 |
| Attorneys fees, costs, and expenses | $110,000,000 |
| Incentive awards to class representatives | $7,500,000 |
| Settlement administration costs | $10,000,000 |
As you can see, the bulk of the fund will go toward paying valid claims. The more eligible people who submit claims, the more the settlement fund will be spread out and the lower individual payment amounts will be.
How can I file a claim in the Facebook settlement?
The claim filing process is not yet open, but should begin sometime in 2023 after the court approves settlement notices. When open, there will be a few steps to file your claim:
- Visit the official Facebook biometrics settlement website and register your contact information
- Once claim filing opens, submit your claim either online or by mail
- Provide your name and contact information
- Confirm you were an Illinois resident for at least 6 months during the eligible timeframe
- Provide any documents or information required to support your claim
- Submit your completed claim by the deadline
The easiest way to submit your claim will be online through the settlement website. The website will provide full instructions and details once claim filing opens. Claims can also be submitted by mail.
One important requirement is that you will need to sign your claim form attesting that you appeared in photos or videos uploaded to Facebook when living in Illinois between 2011 and 2022. The settlement administrator will then verify your eligibility.
Important claim filing deadlines
To receive a payment, you must file a claim by the deadlines to be established by the court. Here are some key dates:
| Key Dates | |
|---|---|
| Claim filing opens | Early 2023 |
| Claim filing deadline | TBD (likely mid 2023) |
| Exclusion/Objection deadlines | TBD (likely early 2023) |
| Final approval hearing | TBD (likely mid 2023) |
| Claim filing closes | TBD (likely late 2023) |
Exact claim filing dates are still to be determined, but will be posted on the settlement website once available. Expect the claims process to be open for at least 60-90 days. File your claim as soon as possible once the filing window opens.
What if I don’t file a claim?
If you are eligible for the Facebook settlement but do not submit a claim by the deadline, you will not receive any payment. However, you will also not give up any rights to separately sue Facebook for violations of Illinois biometric privacy law related to facial recognition.
If you do nothing, you can still potentially bring your own lawsuit against Facebook. But you won’t get any money from this 725 million dollar settlement unless you submit a timely claim form.
Can I object or opt out of the settlement?
If you don’t like something about the settlement, you have two options:
- Object. Write to the court explaining why you don’t like the settlement. The court will consider your objection.
- Opt out. Get excluded from the settlement class. This means you won’t get a payment but keep your rights to sue Facebook separately.
The deadlines for objecting to or opting out of the settlement will be posted on the settlement website once established by the court. Expect objection and exclusion deadlines sometime in early 2023.
When will I get my payment?
Payments will not go out until after the court gives final approval to the settlement. Payments are expected to be issued in late 2023 or early 2024.
First, the court will hold a final approval hearing to evaluate whether the settlement terms are fair and reasonable. If the court approves the settlement, then payments can be distributed after any appeals process concludes. This timeline often takes months.
You can check on the status of final settlement approval and payment distributions at the settlement website. Sign up for email updates so you are notified as soon as payments go out.
What are the reasons my claim could be denied?
Not everyone who submits a claim will necessarily receive payment. Here are some reasons your claim could be denied:
- You did not provide enough documentation to prove you lived in Illinois for 6 months during the eligible timeframe
- You did not adequately prove or attest that your photos/videos were uploaded to Facebook
- You did not sign your claim form
- Your claim is duplicative of another claim
- Your claim is fraudulent
- You did not provide sufficient information required on the claim form
The settlement administrator has protocols to detect fraudulent claims and reserves the right to deny any claims it deems inappropriate. Make sure to fully comply with claim form instructions and provide accurate information.
Disputing a denied claim
If you believe your claim was improperly denied, you will have an opportunity to dispute the decision. The settlement website will provide details on the denial dispute process if and when any claims are denied.
Is the payment taxable?
The settlement payments are considered non-wage compensation. This means taxes will not be withheld. You will be responsible for declaring and paying any taxes owed on the payment amount as part of your tax filings.
Be sure to retain documentation about your settlement payment for tax purposes. You may want to consult a tax professional for guidance on properly reporting settlement proceeds.
Can I get more money by suing Facebook separately?
It’s possible you could potentially recover higher individual damages by suing Facebook outside of this class action settlement. However, doing so would require hiring your own attorney and filing a separate lawsuit.
The average individual payment from this settlement will likely only be a few hundred dollars. But actual damages in a solo lawsuit could potentially be higher, particularly if you can prove concrete harm from Facebook’s privacy violations.
Before excluding yourself from the settlement to file your own lawsuit, you should consult an attorney to fully understand your legal rights and likelihood of prevailing in your own case against the company.
Conclusion
The 725 million dollar Facebook biometrics class action settlement represents a significant payout for Illinois users whose privacy rights may have been violated through the company’s facial recognition practices.
While the settlement still awaits final court approval, millions of people may be eligible for a potential payment. Make sure to monitor the settlement website for the latest status updates and claim filing information.
Be ready to submit your claim form once the filing window opens. Completing the claims process fully and accurately will be key to getting your share of this record-breaking Facebook settlement.