Instagram, the most popular social media platform globally, is compensating up to $30 to some American users in the form of a staggering $68.5 million settlement. The settlement follows claims that the Meta-owned platform violated privacy laws by collecting users’ biometric data without their active permission.
The case was filed under the Illinois Biometric Information Privacy Act (BIPA) — the country’s most robust privacy law. Plaintiffs allege Instagram took their picture or collected other biometric information without disclosing the fact or seeking permission. Instagram does not admit any fault but opted to settle the lawsuit rather than endure lengthy court proceedings.
Who is eligible for the payment?
The award is exclusive to Illinois Instagram app users who utilized the app from August 10, 2015, to August 16, 2023. If you are one of them and made a claim prior to the September 27, 2023 deadline, you qualify to receive a share of the award.
Payments are going out. Some claimants have received $32.56, although that will of course depend on how many individuals were successful in making claims. Each eligible participant receives an equal proportion of the pool of settlement funds.
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What this means for users
For those who are affected, the reward is a modest but real acknowledgment of how precious people’s information can be — and how companies are being held accountable when they misuse it. It is not selfies and filters by any means; biometric data, such as facial scans, is extremely sensitive. Unlike a password, you can’t just switch faces if you get hacked.
Illinois has led the way in enforcing BIPA against the big tech giants. Previous lawsuits against companies like Facebook (another Meta-owned company) and TikTok have paid Illinois residents hundreds of millions of dollars.
Why Illinois, all by itself?
If you’re wondering why your friends in other states aren’t seeing any cash, it’s because Illinois is one of the few states with a biometric privacy law that gives residents the right to sue companies directly. In other words, BIPA provides real legal teeth — and companies like Meta have repeatedly chosen to settle rather than risk a courtroom battle.
Individuals who are not from Illinois are not covered despite the number of years they have been on the platform. These settlements are making one message very loudly and very clearly known to the tech industry, however: keep your biometric data in check, or else you’ll be facing legal and financial penalties.
What happens if you’re late?
Bad luck if you didn’t submit a claim on September 27, 2023. These settlements are “closed class,” so only people who make the effort to claim get compensation.
But this is not the final curtain call for big tech’s fight against privacy invasion suits. If you did not get around to reading about Instagram’s settlement, you might do well to look out for future suits against other apps or services. Various consumer protection websites and law offices frequently post announcements of existing settlements where eligible users can submit their claims online.
Payments are still being made
For those filing on time but did so, payments are to be made over several weeks. These are typically made via direct deposit, paper checks, or electronic payment services, depending on options when filing.
It has been confirmed by a settlement-notification site, Top Class Actions, that Illinois Instagram users have already started to receive their funds. So, if you signed up, today is a great day to check your bank or your mailbox.
The bigger picture: privacy is money
This sale is a reminder that privacy is valuable — to consumers and businesses alike. To Meta, $68.5 million is chump change in its global revenues, but these types of cases are illustrating that judges and legislators are starting to hold Silicon Valley’s feet to the fire for more.
As technology gets more personal — and as apps more and more depend on facial recognition, voice information, and location information — there must be equivalent legal roadblocks. Until that happens, Illinois users enjoy a minor triumph… and a $30 check for their inconvenience.
