Google to Pay $425 Million in App Data Collection Case

Highlights

• Settlement Amount: Google is required to pay $425 million due to a class action lawsuit regarding data collection.
• Claims: The lawsuit involved allegations that Google continued to collect user data despite users disabling tracking features.
• Jury Findings: The jury found Google liable on two of three claims but did not award punitive damages to the plaintiffs.
• Company Response: Google plans to appeal the decision, claiming it misunderstands how their products function.

Google must pay $425 million to the plaintiffs of a class action lawsuit that accused the company of collecting users’ data even after they’ve turned off a tracking feature, a federal jury has decided. The lead plaintiff sued Google back in July 2020, arguing that the company still harvested data even though it tells users they can disable tracking under Web & App Activity through its connection with other apps, such as Uber and Instagram. US District Judge Richard Seeborg then certified the lawsuit as class action, involving 98 million Google users and 174 million devices.

The plaintiffs’ lawyers asked for $31 billion in damages, but the jury only found Google liable on two of the three privacy violation claims. Google didn’t violate the California Comprehensive Computer Data Access and Fraud Act and didn’t act out of malice, the jury found. As a result, the jury concluded that the plaintiffs aren’t entitled to any punitive damages.

In a statement, Google spokesperson Jose Castaneda said that the decision “misunderstands how [their] products work.” He added that the company’s privacy tools give users control over their data and insisted that Google honors people’s choice to turn off personalization. Castaneda said that Google plans to appeal.

The company faced several similar privacy lawsuits in the past. Another 2020 lawsuit accused Google of tracking users in Incognito mode, and the company agreed to settle the $5 billion lawsuit in 2023. A year later, it admitted that it can indeed collect information in Incognito and promised to destroy billions of data collected from Incognito tracking to settle the complaint.