(NEXSTAR) – After years of anticipation, the payments from a $725 million class action lawsuit against Facebook have finally begun to be distributed, according to the company responsible for issuing them.
The social media giant agreed to distribute millions to users to settle claims it violated privacy by sharing data with third parties. Though the settlement received final approval in 2023, payouts were delayed due to objections and appeals.
However, the wait is nearly over. Angeion, the firm managing the settlement’s administration, initially announced payments would start in August, and they have now confirmed that distribution commenced on Wednesday, Sept. 3.
Some of the 28 million people who filed claims have started to receive emails that their claim had been approved and payment was coming soon.
If you didn’t receive notice, there’s no need to panic yet. Payments are expected to be issued in batches over the next 10 weeks.
How big will the Facebook settlement payments be per person?
Before diving into any calculations, here’s a clarification: This lawsuit won’t make you a millionaire. (Unless you’re one of the attorneys involved. They’re receiving $181 million.)
Despite the fund’s large size, the number of filed claims was also substantial. Angeion confirmed two years ago that they had already validated at least 17 million of the 28 million claims. This means the settlement fund will be shared among at least 17 million people.
After deducting legal and administrative fees, the remainder is shared among individuals with validated claims. However, the distribution is not equal. A point system is used, allocating one point for every month a Facebook account was held from May 2007 to December 2022. The more points accumulated, the larger the payment received.
That makes it hard to say exactly how much any individual will get, but lawyers said in 2023 they estimated the median payment to be $30.
Eight members of the settlement class – the named plaintiffs who represented all Facebook users in the case – will get $15,000 each.
