Facebook Axes "Beacon," Donates $9.5M To Settle Suit

alphadogg sends in a Network World piece that begins "Facebook has agreed to shut down a program that sparked a lawsuit alleging privacy violations, and set up a $9.5M fund for a nonprofit foundation that will support online privacy, safety, and security. The lawsuit centers around Facebook's Beacon program, which let third-party Web sites distribute 'stories' about users to Facebook. Beacon was launched in November 2007 and less than a year later plaintiffs filed a class action lawsuit 'alleging that Facebook and its affiliates did not give users adequate notice and choice about Beacon and the collection and use of users' personal information.' ... Facebook never admitted wrongdoing but as part of a proposed settlement the company began sending notices to Facebook users this week. The settlement provides no compensation directly to users who receive the notice. Facebook users can opt out of the settlement, and should do so if they wish to pursue further legal action against Facebook related to the Beacon program. 'If you choose to do nothing and remain in the settlement class, you will be legally bound by the settlement,' a FAQ on the settlement Web site says. "By doing nothing, you will be giving up the right to sue Facebook and the other Defendants over claims related to or arising out of the Beacon program.'" Other defendents included Blockbuster, Fandango, Overstock.com, Zappos.com, and Gamefly. Neither the article nor the settlement site mentions what part, if any, they play in the settlement.

Comments

I got this email and it's quite terse.

[tonycheese]

I honestly, honestly thought it was spam. In fact, I had just marked it as spam before I came over here and read about it.

Facebook is sending you this notice of a proposed class action settlement that may affect your legal rights as a Facebook member who may have used the Beacon program. This summary notice is being sent to you by Court Order so that you may understand your rights and remedies before the Court considers final approval of the proposed settlement on February 26, 2010.

This is not an advertisement or attorney solicitation.

This is not a settlement in which class members file claims to receive compensation. Under the proposed settlement, Facebook will terminate the Beacon program. In addition, Facebook will provide $9.5 million to establish an independent non-profit foundation that will identify and fund projects and initiatives that promote the cause of online privacy, safety, and security.

For full details on the settlement and further instructions on what to do to opt out of, object to, or otherwise comment upon the proposed settlement, please go to http://www.beaconclasssettlement.com./

Please do not reply to this email.

That was the entirety of the email. No signature, no hello, that was it.

How to opt out of the settlement

[mantis2009]

To opt out of the settlement:

10. What If You Want To Exclude yourself (Opt Out) From The Settlement? If you do not want to be legally bound by the settlement, you must exclude yourself by February 1, 2010, or you will not be able to sue, or continue to sue, the Defendants and certain other parties for the claims listed in the Settlement Agreement. To opt out, you must mail (email is not permitted) your original, signed exclusion request to: Facebook Settlement Administrator Exclusion Requests P.O. Box 6177 Novato, CA 94948-6177 Your request for exclusion must contain your name and address, be signed by you, and include the reference “Lane et al. v. Facebook, Inc. et al., Civil Action 5:08-CV-03845-RS.” Your original, signed request for exclusion must be RECEIVED on or before February 1, 2010.