Facebook Agrees To A $650 Million Settlement Over Use Of Facial Recognition
Facebook has agreed to a payout of $650 million, which is a $100 million increase from the original deal, in a class action lawsuit over the company’s unauthorized use of facial recognition technology, according to a report by Fortune.
The lawsuit was filed against Facebook after they violated an Illinois state law that requires companies to get permission before using facial recognition technology on users.
The increase in the settlement came after a federal judge decided in June that the original payment did not adequately punish the social media platform. The Illinois law allows penalties of $5,000, which meant Facebook could have had to pay up to $47 billion.
The case marks one of the biggest payouts for a violation of privacy in history.
The agreement covers any Illinois-based Facebook user that had their picture on the site after 2011. They are each expected to receive between $200 to $400 in the settlement depending on how many people file a claim.
The final settlement in the case is expected to be approved later this year. This means that residents will likely receive their payments next year, in 2021.
“We are focused on settling as it is in the best interest of our community and our shareholders to move past this matter," said a Facebook spokesperson.
Other companies that have violated the privacy law in the past include Google and Shutterfly.
Read the full report here.