Rejected Sponsored Stories Settlement, Fan Page Litigation and California Dreaming

Court Rejects Settlement in Facebook Sponsored Stories Settlement

The class action lawsuit was brought in response to Facebook’s unauthorized use of user’s identities to advertise their products and called for a $10 million payment not to affected Facebook members but to privacy groups.  The court said the parties must provide further detail why payment to the affected members is not a workable solution.

Federal Court: No Claim for Improper Shutdown of FB Fan Page, Relationship Too Indefinite 

A nail polish company with a Facebook fan page of 19,000 fans, could not assert a claim against a competitor after a wrongful takedown of the fan page.  The court explained that the relationship with the fans was too attenuated “to form the basis of an actual expectation of business.”

Should Having a Facebook or Twitter Account Mean ” Mandatory California Vacations if You Get Sued”?  

That question was recently raised by Santa Clara Law Professor Eric Goldman after California federal courts split on this issue.  The issue of jurisdiction is based on the notion that by doing business with people in a certain state you have purposefully availed yourself of its laws, but the social networks are mere devices to enable you to reach people in a host of states and countries that may or may not include California.

More Info: Facebook’s Settlement Over ‘Sponsored Stories’ Blocked By Judge, Bloomberg;  Court Says Facebook ‘Fans’ Don’t Translate Into Protected Expectation of Business, Bloomberg E-Commerce and Tech Law Blog;  Having a Facebook or Twitter Account Shouldn’t Mean Mandatory California Vacations if You Get Sued, Forbes

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