Facebook Privacy Settlement Payments Underway: What Claimants Need to Know
Payments are now being distributed to millions of Facebook users who filed claims in the $725 million privacy settlement. This settlement resolves lawsuits alleging that Facebook improperly shared user data with third parties. Here's what you need to know about receiving your payment.
Who is Receiving Payments?
Individuals in the United States who used Facebook between May 24, 2007, and December 22, 2022, and filed a valid claim by August 25, 2023, are eligible for a payment. The settlement stems from lawsuits alleging Facebook made user data accessible to third parties without permission, particularly after the Cambridge Analytica scandal.
How to Identify a Payment Notification
Approved claimants will receive an email from the "Facebook User Privacy Settlement Administrator." The email address is donotreply@facebookuserprivacysettlement.com, and the subject line is "Facebook User Privacy Settlement – Settlement and Distribution Status Update." This email confirms claim approval and includes a claim ID number. Meta, the parent company of Facebook, has denied any wrongdoing but agreed to the settlement.
When Will Payments Be Distributed?
The settlement administrator began issuing payments in September and anticipates distributing them over the next 10 weeks. Claimants will receive an additional email notification approximately 3-4 days before their payment is issued. Be sure to monitor your email regularly for updates from the Facebook User Privacy Settlement Administrator.
Understanding the Payment Amount
While the settlement totaled $725 million, individual payouts vary. A September 5 court filing indicates the average payment is approximately $29.43, with a maximum payout reaching $38.36. The payments reflect administrative costs, lawyers' fees, and the number of claimants.
How Payment Amounts are Calculated
The payments are determined by "allocation points," which are based on the number of months each claimant actively used Facebook during the eligibility period (May 24, 2007, to December 22, 2022). Each month of active usage equals one allocation point. The net settlement amount is divided by the total allocation points across all claimants.
Why Facebook Settled the Lawsuit
The lawsuits against Facebook arose following the 2018 Cambridge Analytica scandal. These lawsuits alleged that Facebook shared user data with third parties, including app developers, advertisers, and data brokers, without proper consent or monitoring. Meta chose to settle to avoid the expense and uncertainty of a trial, although it denies the allegations.
Settlement Detail | Amount/Date |
---|---|
Total Settlement Amount | $725 Million |
Eligibility Period | May 24, 2007 - December 22, 2022 |
Claim Filing Deadline | August 25, 2023 |
Average Payment Amount | Approximately $29.43 |
Maximum Payment Amount | $38.36 |