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Judge Rejects Facebook Settlement

PRIVACY LAW—U.S.

August 20, 2012

A judge has rejected Facebook’s settlement offer in a lawsuit over the company’s “Sponsored Stories” features and its lack of an opt-out provision, The New York Times reports. Judge Richard G. Seeborg of U.S. District Court in San Francisco, who earlier this month voiced concerns about the proposed settlement and its plan to pay $10 million to charity but nothing to class members, rejected the settlement, saying there are “sufficient questions regarding the proposed settlement” and asking for clarification on remediation for those affected and the size of the legal fee payment. Meanwhile, in an editorial for Slate Magazine, Philip Howard suggests Facebook be “nationalized” in order to restore public trust. (Registration may be required to access this story.)
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