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Facebook offers $10 to each of its Sponsored Stories victims

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A US judge is considering a revised settlement proposal from Facebook in the class action suit over Sponsored Stories.

Facebook is trying to settle the case brought by folks ticked off that the social network publicised their "Likes" of certain companies as adverts without paying them for it or allowing them to opt out.

Earlier this year, Judge Richard Seeborg rejected the first settlement Facebook offered, which would have allowed members to control how their personal data was used - but not eliminate its use - and would have given $10m towards legal fees and $10m to charity.

Seeborg said the settlement wasn't good enough because it didn't offer any money to Facebook users. Now the social network is offering the US Facebook users who appeared in a “Sponsored Story” without consent up to $10 each from the same $20m settlement pot. The case affects potentially 100 million users, but if the money didn't all go to them - and the lawyers - the rest would go to charity, Facebook said.

The firm also said it would create a new tool to allow its members to view any Sponsored Stories that feature their content and opt out of them if they choose.

Seeborg is considering the proposal after a hearing yesterday in San Francisco court. The judge was much less critical of the revised plan and promised a ruling "very shortly", Reuters reported. ®

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