ring fenced
Ring customers to get one-time payment from $5.6million pot directly to accounts – there’s 30-day window to get money
Customers must take action when they are offered a payment
THOUSANDS of Americans are in line to receive a payment after Ring reached a settlement over claims that customers’ privacy was breached.
But there is only a 30-day window to claim the sum from the $5.6 million pot.
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The settlement comes after Ring resolved the lawsuit with the Federal Trade Commission.
More than 117,000 payments are being sent via PayPal to affected customers.
Americans who have indoor cameras are in line to get the check.
Impacted Americans have been urged to accept the payment if they receive a notification.
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Customers do not have to share any details to receive the payment.
The lawsuit, which was filed by the FTC in May 2023, accused Ring of deceiving Americans.
Ring faced several allegations, including using videos to train algorithms without consent, per the lawsuit seen by The U.S. Sun.
The company was also accused of not enforcing security safeguards.
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FTC chiefs claimed hackers could take control of customer accounts and videos.
“Ring’s disregard for privacy and security exposed consumers to spying and harassment,” Samuel Levine, the Director of the FTC Bureau of Consumer Protection, said.
“The FTC’s order makes clear that putting profit over privacy doesn’t pay.”
Americans to get one-time payment up to $10,000 from data breach settlement – you just need to show your receipts
FTC bosses claimed there were egregious privacy violations.
A Ring spokesperson at the time disputed the allegations leveled against the company.
The company vehemently denied claims that it broke the law.
“We take our responsibility to protect our customers’ privacy and security extremely seriously, and believe it’s important to provide context in relation to this settlement,” they said.
What's a class-action settlement?
Class action lawsuits offer groups of people, or 'classes,' a way to band together in court.
These suits are often brought by one or a few people who allege a company or other entity has wronged a large group of people.
When a suit becomes a class action, it extends to all "class members," or people who may have similar complaints to those who filed the suit.
Companies often settle class actions - offering payment to class members who typically waive their right to pursue further legal action by accepting money.
These payout agreements frequently include statements by the defendant denying wrongdoing. Companies tend to settle class actions to avoid the costs of further litigation.
Pollution, discrimination, or false advertising are a few examples of what can land a class action on a company's doorstep.
“We want our customers to know that the FTC complaint draws on matters that Ring promptly addressed on its own, well before the FTC began its inquiry; mischaracterizes our security practices; and ignores the many protections we have in place for our customers.”
Bosses stressed customers can use two-factor authentication to beef up their security.
The company said they had taken measures to protect customers’ privacy.
In 2021, Ring rolled out its Video End-to-End encryption option.
Customers can also delete videos from their Ring apps at any time.
Users can also keep tabs on who can access the account.
“We work every day to earn and keep our customers' trust,” a spokesperson said.
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It’s estimated that 10 million Americans have installed a Ring doorbell outside their home.
The U.S. Sun has approached Ring for comment.