In July 2022, Facebook agreed to pay $90 million to settle a lawsuit that claimed the social media company violated users’ privacy by tracking their internet activity even after they logged off the Facebook platform. As part of the settlement, Facebook has agreed to pay individual amounts to more than 1 million Facebook users in Illinois who filed claims in the case. Here’s what Facebook users need to know about eligibility for a settlement payment and how much they can expect to receive.
Quick facts on the Facebook privacy settlement
- The lawsuit accused Facebook of violating Illinois biometric privacy law by using facial recognition technology to collect biometric data of users without consent.
- The settlement was granted preliminary approval in August 2022.
- It applies to Facebook users located in Illinois for whom Facebook created and stored a face template after June 7, 2011.
- Eligible claimants had to file by November 23, 2022 to receive a cash payment.
- Individual payments are expected to be around $200 to $400 per person.
Who is eligible for a Facebook settlement payment?
To be eligible to receive a portion of the Facebook settlement fund, individuals must have met the following criteria:
- Been a Facebook user located in Illinois for any period of time between June 7, 2011 and September 30, 2022.
- Had their biometric data collected by Facebook through photographs uploaded to Facebook from within Illinois.
- Filed a claim in the lawsuit by the claims deadline on November 23, 2022.
Illinois Facebook users who meet these criteria and filed valid claims by the deadline should receive a cash payment from the settlement fund. The settlement covers Illinois residents only because the claims in the lawsuit centered around violations of Illinois’ Biometric Information Privacy Act (BIPA).
How Facebook allegedly violated privacy law
The lawsuit accused Facebook of violating Illinois state law by:
- Collecting and storing biometric data, including face scans, of users without obtaining informed consent.
- Not providing required disclosures about how biometric data was being collected, stored and used.
- Not establishing a retention schedule for permanently destroying biometric data.
Under Illinois law, companies are required to obtain opt-in consent before collecting biometric data such as face scans and fingerprints. They must also inform people about how the data will be used and establish retention limits. The lawsuit alleged Facebook failed to comply with these requirements.
How much will individual settlement payments be?
The exact payment amount per person has not yet been determined, but estimates indicate it will likely be in the range of $200 to $400. The total $90 million settlement fund will be distributed equally among all eligible claimants after deducting court-approved fees and expenses.
According to court documents, over 1.4 million claims were filed as part of the settlement. After removing invalid claims, that still leaves an estimated 1.2 million valid claims. If we assume each person gets $300, that would use up the entire $90 million settlement fund. Of course, the final individual payment amounts could vary depending on the total number of valid claims that remain and the amount deducted for fees.
What impacts the final payment amount?
Some of the factors that can affect the final payment amount include:
- Total number of valid claims – The more eligible claims filed, the smaller each person’s share.
- Amount awarded for attorney fees and costs – The court still needs to determine appropriate attorney fees and case-related expenses to deduct before distributing payments.
- Costs of administering the settlement – The settlement administrator has costs for notification, processing claims, mailing checks, etc.
- Any additional orders from the court – The court retains authority to make any changes to the settlement distribution process.
We likely won’t know the final individual payment amount until early 2023 when the claims process is completed and the court gives final approval to distribute the funds. But most estimates expect it will be in the ballpark of a few hundred dollars per person.
What’s the timeline for receiving my Facebook settlement payment?
Here is the current timeline for the settlement approval process and distribution of payments:
- November 23, 2022 – Claim filing deadline.
- December 2022 – Court holds a final approval hearing for the settlement.
- Early 2023 – Payments get mailed to class members if court grants final approval.
- Spring/Summer 2023 – Deadline for class members to cash their settlement checks.
The claims administrator will mail settlement checks to all eligible Facebook users who submitted valid claims once the court gives final approval. That approval hearing is scheduled for December 2022. If approved on schedule, payments could go out in early 2023.
Given the large number of claims, it may take a few months for the claims administrator to verify eligibility and process all the payments. Claimants will be notified if there are any delays.
What if I missed the claims deadline?
The deadline to file a claim in this Facebook biometric privacy settlement was November 23, 2022. Unfortunately, claims submitted past that deadline cannot be accepted or reviewed.
The November 23 cutoff was ordered by the judge in the case to ensure ample time to process claims before the final approval hearing in December. Missing the claims deadline excludes you from receiving any money from the settlement fund.
What’s required to cash my Facebook settlement check?
If you are eligible and filed a valid claim, here is what you need to do when your Facebook settlement check arrives:
- Deposit or cash the check within 90 days. Uncashed checks may become void after that point.
- The check will be made out to the name of the class member who filed the claim.
- You may need to provide photo ID and a social security number if depositing the check at a bank where you don’t have an account.
- Consider endorsing the check to your bank account to cash it more quickly.
- Contact the claims administrator immediately if your check is lost, stolen or has any issues.
You can deposit or cash the settlement check just like any other check. Be sure to cash it within the required time period to avoid having your payment become null and void. Let the claims administrator know promptly if you have any problems receiving or depositing your settlement funds.
Settlement check issues and questions
Contact the claims administrator JND Legal Administration at [email protected] or 1-844-799-2417 if you have any questions about your settlement check, such as:
- Missing or incorrect payment.
- Settlement check is lost or stolen.
- Need an address update to receive your check.
- Have an outdated name or identity issue.
- Missed the check void date.
- Other payment disputes or inquiries.
The claims administrator can research the issue and reissue checks if needed. Keep them informed of any payment problems so they can be resolved promptly.
What happens if money remains after all payments are sent?
After all initial settlement payments go out in early 2023, there may be some money left over in the fund if any checks remain uncashed after the void date passes.
According to the settlement terms, any remaining money will be used for the following purposes:
Second distribution to class members
If sufficient funds remain, the claims administrator may make a second, supplementary distribution to class members who cashed their initial checks.
This would increase the total payout for those who deposited their first checks. The second distribution would account for any uncashed checks and money remaining in the settlement fund after the initial claims process concludes.
Cy Pres distribution
If the leftover settlement funds are not sufficient to justify a second distribution to class members, the court may approve a cy pres distribution. This involves donating any unclaimed funds to one or more charitable organizations, non-profits or other recipients whose work furthers the interests of the class members.
The recipients of a cy pres distribution have not yet been determined. The court will choose cy pres beneficiaries that relate as closely as possible to the interests of the class and the purpose of the lawsuit.
Cy pres distributions allow unclaimed settlement money to still benefit Facebook users even if a second payment wave is not practical. The judge has authority to approve appropriate cy pres recipients.
Conclusion
The Facebook biometric privacy class action settlement provides cash compensation to Illinois Facebook users who filed valid claims by the November 2022 deadline. Eligible claimants will likely receive modest payments estimated around $200 to $400 apiece. The exact individual amounts still depend on the total claims filed and fees deducted. Settlement checks are expected to go out after final court approval in early 2023.
This settlement resolves five years of litigation over Facebook’s alleged collection of facial recognition data without proper consent, as required under Illinois law. Though not a large amount, the compensation acknowledges the privacy issues raised by the suit. Moving forward, the case also compels Facebook to take greater care in informing users about biometric data collection and respecting their privacy choices.
| Key Dates | Event |
|---|---|
| June 2011 | Facebook begins storing biometric data according to lawsuit allegations. |
| April 2015 | Lawsuit filed accusing Facebook of violating Illinois BIPA law. |
| August 2022 | Court grants preliminary settlement approval. |
| November 23, 2022 | Claim filing deadline. |
| December 2022 | Final approval hearing. |
| Early 2023 | Settlement payments mailed if court approves. |
| Spring/Summer 2023 | Check cashing deadline. |
Settlement Quick Facts
| Settlement Fund | $90 million |
|---|---|
| Estimated Claimants | 1.2 million Illinois Facebook users |
| Expected Individual Payment | $200 – $400 per person |
| Claim Filing Deadline | November 23, 2022 |
| Payment Mailing | Early 2023 if approved |