class action

Judge tosses some shareholder suits over Facebook's IPO flop

Things may be looking up for Facebook in the dozens of lawsuits it's facing from peeved shareholders over its botched initial public offering.

U.S. District Judge Robert Sweet ruled in favor of Facebook today and dismissed a group of these cases, according to the Wall Street Journal.

The social network became embroiled in this extensive legal battle shortly after its $16 billion IPO last May. The company's stock opened on the Nasdaq priced at $38 a share and, aside from a slight uptick right at the start, proceeded to plummet in the days and weeks following. Defendants … Read more

Plaintiffs named in suit over Facebook's troubled IPO

A U.S. judge has named the lead plaintiffs in the dozens of class-action lawsuits brought against Facebook over its bungled initial public offering, according to Reuters.

District Judge Robert Sweet has been assigned 42 cases against the social network, which he consolidated in October. Today he picked a handful of plaintiffs to head the suits. The lead plaintiffs include several state pension funds, such as the North Carolina Retirement Systems, Arkansas Teacher Retirement System, the Fresno County Employees' Retirement Association, and Banyan Capital Master Fund. Collectively, this group claims a combined loss of $7.1 million.

"Its members … Read more

Uber faces new legal challenge, at home in San Francisco

It looks like Uber has yet another legal hurdle to surmount, this time on its home turf in San Francisco.

The popular ride-summoning startup, which has recently dealt with regulatory challenges in Washington D.C., New York, and Chicago, is now being sued in San Francisco by the city's cab drivers, who are claiming unfair business practices.

The fast-growing service, which allows customers to use smartphones to arrange transportation in several U.S. cities, announced last month that in the San Francisco market it was testing out a taxi service option within the Uber app, alongside its existing sedan … Read more

Sony PSN hacking lawsuit dismissed by judge

A California district judge has dismissed a handful of charges that plaintiffs brought against Sony, including negligence, restitution, and unjust enrichment in its handling of a PlayStation Network data breach last year.

Several lawsuits were filed against Sony PlayStation Network in the wake of a major security breach of the personal data of more than 75 million customers in April 2011.

On Friday, Judge Anthony Battaglia of the U.S. District Court in Southern California ruled that one of those class action suits is invalid, according to Courthouse News.

When the attack happened in 2011, more than 75 million customer … Read more

Watchdog calls eBay's user policy 'underhanded'

A consumer rights group accused eBay of making it tough for users to pursue litigation against the company and said the auction site operator's new user policy goes against the company's "commitment to openness."

Public Citizen, which called eBay's new user agreement "underhanded," takes issue with a section in eBay's policy that details how eBay and users' will handle legal disputes. In the agreement (scroll down to the section about legal disputes), eBay says that all claims that arise against eBay should be "resolved exclusively through final and binding arbitration," … Read more

Lawsuits over Facebook's IPO flop to be consolidated in NY

Facebook's wishes have been granted, at least for now. The dozens of lawsuits brought against the social network over its bungled initial public offering have been consolidated and will be heard before one federal judge in New York, according to Reuters.

Approximately 50 lawsuits have been brought against the social network, some of its underwriters, and the Nasdaq exchange. Earlier today, a panel of federal judges ruled that all of these cases will be collected throughout the U.S. and transferred to U.S. District Judge Robert Sweet in Manhattan.

According to Reuters, Facebook said that it was pleased … Read more

Pandora defeats privacy suit over Facebook integration

When Pandora was sued for alleged privacy missteps following Facebook integration, it was headline news, with one report saying the Internet radio company had stumbled "into the minefield of privacy lawsuits that are blowing up all over the tech industry." Even the Federal Trade Commission was dragged in.

But that minefield was a dud: A federal court has now tossed out the lawsuit, ruling that no "actual injury" was caused by the April 2010 partnership between Facebook and Pandora that allowed users to tie their accounts together.

The suit claimed violations of an obscure pre-Internet era … Read more

Facebook to give users more control over controversial ads

If a judge approves Facebook's settlement of a class-action lawsuit regarding "sponsored stories," the social network will give users more control over the advertising tool, which features users' profile photos and other information in ads for businesses and products the users have "Liked."

Reuters reported today that the settlement agreement includes giving users the ability to determine what, if any, user information can be featured in ads, and adding new language to Facebook's guidelines informing users of sponsored ads, according to court documents filed Wednesday. TechCrunch reported that user opt-outs will apparently apply on … Read more

LinkedIn hit with $5M lawsuit over lost passwords

An Illinois woman is leading the charge against LinkedIn in a $5 million class-action lawsuit that alleges the social network failed to protect its members' data.

The suit is a result of the recent security breach in which hackers stole thousands of passwords. The passwords ended up on a site accessible to the public.

Katie Szpyrka, a registered LinkedIn account holder since 2010, filed suit last week in the U.S. District Court in the Northern District of California, claiming LinkedIn violated its own privacy policies and user agreements by not following industry, ZDNet reported today.

LinkedIn spokeswoman Erin O'… Read more