By Sarah Mirando  |  December 21, 2011

Category: Legal News

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Facebook “Like” Ads Class Action Lawsuit Gets Green Light

By Mike Holter

 

FacebookJust when we thought Facebook was immune to class action lawsuits actually sticking in court, a California district judge ruled that a class action lawsuit claiming Facebook’s “Like” ads violate a California law on commercial endorsements can proceed.

The class action lawsuit takes aim at Facebook’s “sponsored stories”: targeted advertising that takes the name and profile picture of a Facebook user’s friend and claims the person likes the advertiser. Facebook users claim in the class action lawsuit this is an unauthorized use of their names and likenesses and that they deserve compensation.

California’s Right of Publicity Statute prohibits the non-consensual use of another person’s name, voice, signature, photograph or likeness for advertising.

Facebook argued it was immune under the law’s “newsworthiness” exemption, which doesn’t require consent, because Facebook users are public figures to their friends and expressions of consumer opinion are generally newsworthy.

Facebook used a similar argument to help dismiss a class action lawsuit claiming its use of members’ names and profile pictures to promote its Friend Finder feature violated their privacy.

On December 16, U.S. District Judge Lucy Koh rejected Facebook’s argument, ruling the Plaintiffs may pursue claims that the social network’s sponsored ads violate state law and are fraudulent.

The “plaintiffs have articulated a coherent theory of how they were economically injured by the misappropriation of their names, photographs and likeness,” Judge Koh wrote.

Koh ruled that the class action lawsuit can move forward, but dismissed a claim that Facebook was unfairly profiting from the ads. Facebook makes an estimated 90% of its money from online advertising.

The case is Fraley v. Facebook, Inc., Case No. 11-cv-01726, U.S. District Court, Northern District of California.

UPDATE: On Nov. 17, 2016, Top Class Actions readers who submitted timely and valid claims for the Facebook settlement started receiving checks worth as much as $15. Congratulations to everyone who got PAID!

 

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Updated December 21st, 2011

 

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3 thoughts onFacebook “Like” Ads Class Action Lawsuit Gets Green Light

  1. Top Class Actions says:

    UPDATE: On Nov. 17, 2016, Top Class Actions readers who submitted timely and valid claims for the Facebook settlement started receiving checks worth as much as $15. Congratulations to everyone who got PAID!

  2. Anonymous says:

    Oh mis chicles Crissy! (That’s ‘like OMG!’ to you if you’re a blond beach Barbie-doll ;) Almost per verbatim, that’s ‘zactly what happened to one such as this – and I called the CIA, NSA, FTC, SEC, BBB, and even thought of calling the WWE, WWF and UFC to pick a fight with these Facebook li’l buggers — I tellya!

    Well, in closing I’ll be a dirty-bird, but by yet ‘n needless to say, corn-chuckers y fuddruckers… for I was madder than a midget with a tall person’s yo-yo!

    p.s. So get a hold of your states Attorney General, contact information and file an empirical complaint. Fuhget’boutit!

  3. Anonymous says:

    I want to join this law suit. Facebook also sends fraudulent emailssurveys asking for your input on certain subjects. These are links to their advertisers not surveys,I was doing (it seemed like a real survey ) general questions such as age, race, gender then I saw the free credit report try our credit monitoring….and the yes box checked. I unchecked the box and closed my browser. Four days later I was checking my bank account and saw I had been charged $19.95 for the credit monitoring. So long story short I call to complain and get my money back just to get a very determined woman telling me I had to of agreed how else would they get my card information, (stole it) and that they would cancel my account but of course would not refund my money as I had 7 days to cancel (stole my money in 4 days) I got mad told her I would be filing a complaint with the proper organizations and hung up. Any one else have a similar complaint???

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