A group plaintiffs filed a class action against Facebook and other entities that operated websites participating in the Beacon program, raising a number of privacy issues. The Ninth Circuit found “no substance in Objectors’ claim that the presence of a Facebook employee on DTF’s board of directors categorically precludes DTF from serving as the entity that will distribute cy pres funds. That Facebook retained and will use its say in how cy pres funds will be distributed so as to ensure that the funds will not be used in a way that harms Facebook is the unremarkable result of the parties’ give-and-take negotiations, and the district court properly declined to undermine those negotiations by second-guessing the parties’ decision as part of its fairness review over the settlement agreement.” Lane v. Facebook, Inc., 696 F.3d 811 (9th Cir. 2012).
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