Jurisdiction: United States District Court for the Northern District of Illinois
Ruling Date: December 13, 2024
District: Northern District of Illinois
Summary:
A coalition of twenty-two U.S. states and the District of Columbia raised objections to a proposed settlement in the class-action privacy lawsuit against Clearview AI. The lawsuit alleged that Clearview AI violated privacy laws by scraping billions of facial images from social media and other websites without obtaining user consent.
The proposed settlement would have required Clearview AI to provide limited financial compensation to class members and offer them a stake in the company. However, the objecting states argued that this approach was inadequate, citing concerns about the enforceability of compliance measures and the ethical implications of compensating victims with ownership interests in the violating entity.
A hearing was held on December 16, 2024, to address these objections, but no resolution has been announced.
Implications for AI and Law:
Privacy Rights and AI Development: This case continues to shape the evolving intersection between privacy rights and AI technologies, particularly regarding the use of biometric data without consent.
State-Level Push for Stronger Regulations: The objections highlight the increasing role of state attorneys general in advocating for stronger consumer protections and ethical oversight of AI applications.
Class-Action Settlements in AI Cases: If the settlement terms are revised, it could set a precedent for how victims of privacy violations involving AI are compensated and how accountability measures are structured in such cases.