Google to Pay $135 Million, Revise Android Data Policies to Settle Nationwide Class Action Over Alleged “Passive” Data Collection - USA Herald
Summary
Google has reached a $135 million settlement to resolve a class action lawsuit accusing the company of collecting cellular data from Android users without their explicit consent. The settlement covers over 100 million Americans who used Android smartphones with cellular data plans between November 2017 and the settlement's final judgment, excluding California residents due to a separate case. Plaintiffs alleged that Android devices continued to transmit data to Google even when idle, exploiting cellular data for advertising purposes – a practice they termed “passive” data transfer.
As part of the agreement, Google will implement changes to increase transparency and require explicit consent from new Android users regarding background data transfers. These changes include clearer disclosures in Google Play terms of service and a mandatory “accept” button during device setup. Google will also modify the “allow background data usage” toggle to prevent misleading users. Plaintiffs estimate these changes could prevent the unauthorized use of approximately $300 million worth of cellular data annually.
The legal battle began in November 2020, with claims of conversion and quantum meruit. While some aspects of the case were initially dismissed, the Ninth Circuit revived the claims in 2024. Google stated the settlement clarifies industry practices and enhances user transparency, and a preliminary approval hearing is scheduled for February 17th.
(Source:USA Herald)