Legal Eagle: Facebook facing lawsuit over ads
Social media giant Facebook is facing some heat right now. It's battling a lawsuit over its sponsored stories. Those are the ads along the side of their page that make it look like your friends are recommending one product or another. Here to break things down for us is our very own Legal Eagle, Paul DerOhannesian.
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UNITED STATES -- If you're on Facebook, you may have received a legal notice from them. It's not fake, it's all part of a class action lawsuit against the social media giant.
The lawsuit surrounding Facebook's sponsored stories was settled in December for $20 million The plaintiffs in the case claimed Facebook violated the law by using their names and pictures in the ads without their permission.
As a result, the social media network is giving its users the option to claim part of the settlement. But as our legal expert Paul DerOhannesian says, you may not get very much out of it.
"That's what's interesting. It looks like if you say you'll participate in the settlement, you may get $10. And if many people want to participate and there's not even enough money to give $10 to people, that money will be given to charity," DerOhannesian said.
Lawyers typically see the most benefit from a class action lawsuit. In this particular case, the lawyer may be receiving as much as $7 million as a result.