Facial recognition startup Clearview AI has settled a lawsuit in Illinois, agreeing to compensate plaintiffs with a share of the company’s potential value, estimated to be over $50 million. The settlement comes after allegations that Clearview’s database of faces, sourced from social media and the internet, violated privacy rights.
Judge Sharon Johnson Coleman approved the unique agreement, which also includes $20 million in attorneys’ fees. Clearview has settled a separate case in 2022, restricting database access to government entities only.
Despite not admitting liability, Clearview’s attorney James Thompson expressed satisfaction with the agreement. Lead plaintiffs’ attorney Jon Loevy called it a “creative solution” due to Clearview’s financial constraints.
However, critics like attorney Sejal Zota from Just Futures Law believe the settlement legitimizes Clearview’s unethical practices of harvesting and selling people’s faces without consent for AI training. The agreement also faces scrutiny for not addressing the core issue.
The settlement covers individuals with data in Clearview’s database from July 1, 2017, with a national campaign planned to inform potential plaintiffs about their eligibility.
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