May 30, 2014: In what some would say is a big win in the personal privacy realm, Madame Justice Griffin of the BC Supreme Court certifies the class and sets out the issues in what will be an interesting case to follow as it relates to Facebook and Sponsored Ads.
The Court states as follows in Douez v. Facebook, Inc:
[360] Given the
almost infinite life and scope of internet images and corresponding scale of harm
caused by privacy breaches, BC residents have a significant interest in
maintaining some means of policing privacy violations by multi-national internet
or social media service providers.
[361] Working
together the CPA and the Privacy Act provide practically the only
tools for BC residents to obtain some access to justice on these issues.
[362] There is
evidence showing some basis in fact for the plaintiff’s assertion that Facebook
used the
names or portraits of BC residents who were Facebook users without
their consent in advertisements called Sponsored Stories.
[363] There is
also some basis in fact to support the plaintiff’s claim that this conduct
creates an actionable tort pursuant to s. 3(2) of the Privacy Act,
without the necessity of proving actual damage.
[364] I have
dismissed Facebook’s application that this Court decline jurisdiction in this
matter.
[365] I have
granted the plaintiff’s application that the within proceeding be certified as
a class proceeding.
[366]
The class description will be as follows:
All British Columbia Resident natural persons who are
or have been Members of Facebook at any time in the period from January 1, 2011,
to May 30, 2014 and:
(a)
who at any time during this period registered with Facebook using either
their real name or a portrait that contained an identifiable self-image or
both;
(b)
whose name, portrait, or both have been used by Facebook in a Sponsored
Story; and,
(c)
who do not seek to prove individual loss as a result.
[367] I conclude
on the evidence and submissions before me that one of the central issues in the
lawsuit will be whether or not Facebook’s standard Terms of Use, alone or
together with other Facebook online tools, provided users’ consent to Facebook
to use the person’s name or portrait in advertising through Sponsored Stories.
This is an issue common to all class members. The determination of this issue
will significantly advance the lawsuit on behalf of all class members or could
defeat the lawsuit altogether.
[368] There are
other common issues in addition to the consent issue.
[369] Attached
as Appendix A is a list of the approved common issues. The parties have
liberty to apply within 30 days to amend common issues 1 through 4 to address
any concerns with the wording. Likewise, the parties have liberty to apply
within 30 days to address any concerns with the revisions to the class
definition made as a result of this judgment.
[370]
l also suggest that the parties arrange for a further hearing before me
to address the form of notice to class members and any revisions to the
litigation plan to take into account these reasons.
Issue 1
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What
if any Online Actions taken by a Class Member on the Facebook service would
constitute express or implied consent to the Class Member’s name or portrait
being used in a Sponsored Story, such that it constitutes consent within the
meaning of s. 3(2) of the Privacy Act, R.S.B.C. 1996, c. 373?
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Issue 2
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Is
a tort under s. 3(2) of the Privacy Act provable as an independent tort without regard to the elements of
s. 1(2) and (3) of the Privacy Act?
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Issue 3
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Were
all or only some Sponsored Stories for the purpose of advertising or
promotion within the meaning of s. 3(2) of the Privacy Act?
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Issue 4
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Does
the Privacy Act apply to Facebook in
relation to BC residents who used Facebook’s services?
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Issue 5
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Are
Class Members entitled to damages without individual proof of damage pursuant
to s. 3(2) of the Privacy Act?
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Issue 6
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Can
the amount of damages be determined on an aggregate basis; if so, in what
amount?
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Issue 7
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Does
the Defendant’s conduct justify an award of punitive damages in favour of the
Class; if so, in what amount?
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Issue 8
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Is
the Defendant liable to pay interest pursuant to the Court Order
Interest Act, R.S.B.C. 1998, c. 79; if
so, in what amount?
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