Facebook Gets Initial Approval of 'Sponsored Stories' Lawsuit SettlementCategory: General News
Posted: December 4, 2012 12:17PM
U.S. District Judge Richard Seeborg has given Facebook preliminary approval of a settlement to a lawsuit initially filed in May this year with regards to Facebook's 'Sponsored Stories'. The settlement would involve the firm awarding each user who objected to being part of the social network's 'Sponsored Stories' advertisements $10 in compensation. The settlement would also involve Facebook giving users the opportunity to opt out of the program if they wish.
Facebook has since removed 'Sponsored Stories' advertisements for users in the U.S., but the class-action lawsuit currently held against Facebook still applies. Facebook first began displaying friends' 'Likes' alongside advertisements in the sidebar on the right of the page, but then integrated them into the news feed. This was deemed a breach of privacy and prompted the class-action lawsuit to be filed. Facebook issued a short statement on the proceedings of the settlement stating that it was pleased with the approval. Despite this, there will likely be a long wait before the proceedings draw to a close and the settlement is finalized.