Clearview AI settles class-action privacy lawsuit worth an estimated $50 million

Summary: A federal judge has approved a settlement between Clearview AI and class action plaintiffs regarding privacy infringement allegations, valuing potential damages at over million. The settlement allows plaintiffs to have a stake in the company’s future value instead of receiving a lump sum payment. The case arose from Clearview’s practice of scraping facial images from the internet without consent, which violated Illinois’ Biometric Privacy Act.

Affected: Clearview AI and class action plaintiffs

Keypoints :

• The settlement was approved by Judge Sharon Johnson Coleman, who assessed damages over million.
• Clearview AI faced class action for allegedly infringing on the privacy rights of millions by scraping facial images from the web.
• The unusual financial structure of the settlement allows plaintiffs to benefit from the company’s future value rather than a direct payout.
• Twenty-two state attorneys general opposed the settlement, arguing it inadequately enforced protections against future harms.
• Clearview previously resolved a separate case with the ACLU, agreeing to limit access to its database for five years.
• The company recently underwent leadership changes, with new co-CEOs, including one connected to former President Donald Trump.