Oracle's $115 Million Privacy Settlement Faces Opposition
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Oracle and the plaintiffs' lawyers who negotiated a $115 million privacy settlement with the tech giant are facing opposition as a US judge in California prepares to consider final approval of the proposed deal, reports Reuters.
More than 25 objections have been filed against the settlement, which was announced in July, according to a court filing. The objections come from members of the estimated 220 million-person class, who argue that the settlement amount is inadequate. Several challengers also contend that the plaintiffs' lawyers' request for $28.8 million in legal fees is excessive.
The class action accused Oracle of creating "digital dossiers" on millions of individuals without their consent, violating federal and state privacy laws and California's constitution. Oracle denied any wrongdoing as part of the proposed settlement. The company has since exited the advertising technology industry, citing declining revenue.
In their court filing, the plaintiffs' lawyers countered the objections, calling them a "minute fraction of the class" and arguing that the potential risks of further litigation outweigh the objections.
More than 3.2 million people have submitted claims, with eligible class members expected to receive approximately $25, according to the lawyers. They argue that this compensation is the highest in any privacy case where there is no direct relationship between the class members and the defendant.
However, one objecting lawyer, Chris Williams, described the plaintiffs' lawyers' request for $28.8 million in legal fees as "a money grab." The class lawyers defended their fee request, stating that the 9th US Circuit Court of Appeals has established 25% of the settlement fund as a benchmark for such cases.
The hearing for final approval is scheduled for November 14 before US District Judge Richard Seeborg.