[SGVLUG] class action vs Classmates.com nets $3.93 per abused user

listreg listreg_sr at ix.netcom.com
Thu Nov 8 14:13:06 PST 2012


You just figured his out??


-----Original Message-----
>From: matti <mathew_2000 at yahoo.com>
>Sent: Nov 8, 2012 12:37 PM
>To: "SGVLUGDiscussion List." <sgvlug at sgvlug.net>
>Subject: [SGVLUG] class action vs Classmates.com nets $3.93 per abused user
>
>
>
>fyi - interesting to see what happens...
>
>How lawsuit against Classmates.com ended in paltry $3.93 payouts
>Attorneys got paid $800,000; judge on the case sees the injustice.
>
>"The case originated with two lawsuits claiming that Classmates.com had sent out millions of deceptive e-mails telling users that an old friend was trying to contact them, and had viewed their profile or signed their "guestbook." For the great majority, that wasn't true; no one at all had shown an interest in their profile. About 60 million users were contacted, and about 3 million actually took the bait, paying between $10 and $40 to Classmates."
>
>http://arstechnica.com/tech-policy/2012/11/how-lawsuit-against-classmates-com-ended-in-paltry-3-93-payouts/?comments=1#comments-bar
>
>
>Comment worth sharing:
>
>The problem is not the lawyer charge too much (though they probably are).
>
>The problem is classmate baited 3 million people paying $10-40 for nothing. That's 30 millions+ right there. At the end they only need to pay back 5 million or so after the settlement and legal cost. This suggests in United States of America it is better to scam people first, then pay fraction of a damage to a fraction of the affected users. Heck, even if the judge ordered them to pay $20 to each class member that company still make money over this.
>
>The lawyer may makes a lot of money, but 800,000 is nothing compared to the 30 million that classmate pocket.
>




More information about the SGVLUG mailing list