Class Action Roundup – May 6

It’s time for the roundup. That magical time of week where we explore the top class action news from around the web.

Facebook’s Facial Recognition Lawsuit Continues

Facebook’s request to dismiss a lawsuit that claims the company’s facial recognition software invades users’ privacy has been rejected. The basis for the lawsuit, you ask? Well, it all lies in Facebook’s gathering of what it calls “faceprints.” Technology has allowed the social media giant to recognize faces and store the biometric data for use in the site’s photo-tagging feature. But, people have been voicing their concerns over the feature, namely that they never consented to having their faces scanned and the resulting data stored. Specifically, plaintiffs claim that the practice violates the Biometric Information Privacy Act, an Illinois law that covers the collection and use of consumers’ biometric data. For more information on the lawsuit and the company’s attempt to dismiss the case, check out CNBC article by Jessica Guynn. Thanks for the great article Jessica.

Proposed CFPB Rule Would Make it Easier to Sue Banks

The Consumer Financial Protection Bureau (CFPB) is trying to make it easier for you to sue your bank. Well, in a sense. Many companies (banks included) use mandatory arbitration clauses to keep customers from filing class action lawsuits – and CFPB director Richard Corday is trying to change that. The CFPB proposed a rule that would prevent many financial institutions from using the clauses as a way to get out of lawsuits. Corday says that these companies often hide behind their arbitration clauses, shirking accountability even if they violate the law. For more information on the proposal and the financial industry’s warning against it, check out this article by Chris Arnold on NPR.

Hurricane Katrina Flooding Lawsuit Granted Certification

Class certification has been granted in a case that claims the government is partially responsible for some of the flooding that took place during Hurricane Katrina – and now more property owners will be covered in the event of a settlement. Last year, federal judge Susan Braden found that the Army Corps of Engineers’ failure to maintain a navigation channel allowed the storm to cause significantly more damage than it should have. The class now includes people who owned property in St. Bernard Parish or the Lower Ninth Ward at the time the storm hit. For more information on the certification and the case up to this point, check out this article by Kevin Lessmiller.