What Happens if a BIPA Defendant Settles Before Trial?

A defendant that settles a BIPA claim under the Illinois biometric-privacy law ends the case without a trial or liability verdict. Both sides agree to resolve all claims to avoid expense, delay and uncertainty, as explained in the Hernandez settlement FAQ. If you received a notice, the settlement sets your options and deadlines. Your payment depends on filing a valid claim and on the court approving the deal.

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Does settlement mean the defendant broke the law?

No. A pre-trial settlement resolves the dispute without a finding on the merits. The case closes with no jury decision on whether the conduct violated BIPA.

The defendant typically denies wrongdoing while settling. In the Hernandez matter, the defendant denied violating BIPA, denied that class certification was warranted, and denied liability. That posture is common because settlement buys finality, not a verdict.

When does a class deal take effect?

A class-wide BIPA deal takes effect only after court approval. The court first grants preliminary approval, then orders notice and later decides on final approval.

Judge James Donato granted final approval to the $650 million Facebook BIPA settlement on Feb. 26, 2021, according to the court order published by FindLaw. Until that final order, class members hold only a proposed deal.

What must you do to get paid?

After preliminary approval, the court orders notice to class members. That notice explains how to file a claim, opt out, or object.

The Facebook court praised an innovative notice-and-claims process that drew a high claims rate and only three objections. Eligible Illinois class members who submit valid claims receive cash. Every claiming member in Facebook would receive at least $345 from the $650 million fund covering about 1.6 million users, according to AFP reporting via TechXplore.

  • Check the notice for the class definition and filing deadline
  • Submit a valid claim form on time
  • Choose to opt out or object by the stated date if you do not want the class payment
  • Wait for final approval and resolution of any appeals before distribution

What rights and changes follow final approval?

Final approval produces a final judgment that dismisses the covered claims. Participating class members cannot separately sue over the released BIPA claims. TikTok's $92 million BIPA settlement received final approval and final judgment on Aug.

22, 2022, according to counsel FeganScott. A deal can also require forward-looking privacy compliance. TikTok agreed to a data-privacy training and compliance program plus annual employee privacy training in addition to cash. No one is paid until the court grants final approval and any appeals or objections are resolved, so file by the deadline and then wait for distribution.


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