Facebook takes on class action lawsuits, reaches settlements over privacy

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Facebook lawsuits overview: 

• Who: Facebook and Meta Platforms have been involved in a handful of recent lawsuits, class action lawsuits and settlement agreements, as well as an investigation. 
• Why: The lawsuits and settlement agreements address issues concerning data privacy and tracking. The investigation concerns the effect of social media on mental health.
• Where: The lawsuits, settlements and investigation affect consumers nationwide.

Facebook and its parent company, Meta Platforms Inc., made headlines last month due to their involvement in several lawsuits and settlement agreements, as well as a lawsuit investigation.   

The issues concerning Facebook and Meta include data privacy and the effect of social media use on mental health.

Meta asks for dismissal of Pixel patient tracking claims

In a motion filed last month, Meta asked a federal court in California to dismiss claims the company uses its Facebook Pixel to unlawfully collect millions of hospital patients’ private data. 

Meta contends it has done nothing either inherently unlawful or that would harm the patients, who argue the company collects sensitive information from more than 600 health care web properties. 

The patients claim Meta should have known hospital websites were illicitly using its Facebook Pixel tracking device. The judge overseeing the claims had previously considered a motion requesting a preliminary injunction against Meta. 

Meta is accused of using the Facebook Pixel tracking device to allow Facebook to receive data, such as when an individual registers as a patient, signs into a patient portal or sets up an appointment, among other things. 

FTC accuses Meta of failing to fully comply with 2020 privacy order, proposes new changes as result

Also in May, the Federal Trade Commission (FTC) proposed changes to its 2020 privacy order, after accusing Meta of failing to fully comply with the original version. 

Under the proposed changes, Meta would no longer be allowed to profit from any data it collects from users younger than 18 and would be faced with greater limitations on its use of facial recognition technology. 

The FTC also accused Meta of misleading parents of children about their ability to control who they interact with on its Messenger Kids app and of misrepresenting the extent to which it gave some app developers access to private user data. 

The agency originally filed a complaint against then-Facebook over privacy concerns in 2011. 

Meta to pay $725 million to end claims Facebook shared user data with third parties without permission

Meta agreed to pay $725 million last month to resolve claims Facebook shared or otherwise made accessible the data of its users and their friends with third parties, without having their permission to do so. 

The social networking company was also accused of failing to sufficiently monitor and enforce the third-party access or use of the data it allegedly improperly shared. 

Those eligible to benefit from the class action settlement include all Facebook users who were active on the platform from within the U.S. between May 24, 2007, and Dec. 22, 2022.

If the settlement is approved, Meta will establish a settlement fund that will be used to pay out all valid claims, in addition to notice and administration expenses and any attorney fees and costs. 

A final approval hearing for the class action settlement has been scheduled for Sept. 7, 2023. Individuals who would like to make a claim to join the settlement must submit a valid claim form by Aug. 25, 2023. 

Meta to pay $37.5 million to end claims it tracked location of Facebook users who had turned off location services

Also in May, Meta agreed to pay $37.5 million to resolve claims it tracked the location data of Facebook users who had turned off location services on their iOS or Android devices for the Facebook application.

The settlement was made to compensate individuals residing in the U.S. who used Facebook between Jan. 30, 2015, and April 18, 2018, and who had their location services settings for the Facebook app turned off at any point during that time. 

The court still must approve the proposed settlement agreement. The deadline to submit a claim to join the class action settlement is Aug. 11, 2023. 

Meta, Facebook, Instagram part of investigation into effect of social media on mental health 

A class action lawsuit investigation revolving around the effect social media has on the mental health of Facebook and Instagram users — particularly young adult women and teen girls — is underway and seeking participants. 

Facebook and Instagram have been linked to causing mental health issues and dangerous behaviors such as self-harm, suicidal ideation and attempts, suicide and eating disorder such as bulimia and anorexia. 

The issues are particularly found in young women and teenage girls, while Meta, which owns Facebook and Instagram, has been accused of putting profits ahead of the mental health and wellbeing of its users. 

Have you been affected by complaints made in the recent lawsuits involving Meta or Facebook? Let us know in the comments.

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