The second wave of payments from Facebook's historic $725 million privacy settlement is hitting bank accounts this week, but recipients are far from impressed. After a first round that saw median checks of $32.45, the latest disbursements are averaging around $6, with many users receiving just a few dollars.
Social media erupted with sarcasm as the smaller payouts began arriving Tuesday. One X user joked, "After seeing the Facebook privacy settlement notification… I will not be retiring from work at this time." Another quipped, "A Facebook class action settlement paid me $7.31! However shall I spend it?" A third recipient, who got $4.67, wrote, "Thanks to the Facebook privacy settlement I was able to buy TWO slices of pizza from 7-eleven today."
A Second Round from Leftover Funds
The settlement administrator confirmed that payments will continue over the next four weeks. The bonus round was made possible by roughly $100 million in uncashed benefits left over from the original fund. According to the second wave of Facebook privacy payouts, 15.7 million users are receiving these small checks, a far cry from the life-changing sums some had hoped for.
Lawyers Take the Lion's Share
The disparity between what plaintiffs' attorneys earned and what class members received has drawn sharp criticism. Court documents show legal fees totaled about $181 million before interest, plus $3.7 million in costs. That means lawyers collected roughly 25% of the total settlement fund, while individual users average single-digit payouts. Other class action settlements have faced similar backlash over attorney compensation.
The Cambridge Analytica Connection
The lawsuit stems from Facebook's practice of sharing user data with third parties without proper consent. One of the most notorious recipients was Cambridge Analytica, the political consulting firm that worked on Donald Trump's 2016 presidential campaign. The data breach affected an estimated 87 million users and sparked a broader debate about tech companies' handling of personal information.
While the settlement resolves the class action, the political fallout continues. Critics argue the payout structure undermines accountability, as Facebook faces no admission of wrongdoing. The case remains a touchstone in discussions about settlement backlash and political revisionism surrounding the 2016 election.
For now, recipients are left with pocket change and a bitter taste. As one user put it, the settlement won't fund anyone's retirement—just maybe a slice of pizza.
