Facebook will soon have to defend yet another class action lawsuit. This time it involves kids, credit cards and the company’s lifeless virtual currency.
As per Judge Beth Labson Freeman of the federal district court in San Jose, California, Facebook will need to refund the purchases made by 2 kids in 2012, who bought things without seeking parents prior approval.
If you remember, Facebook had launched Facebook Credits. The company tried its best to make it a success, however, the entire initiative received a boot in mid-2012. And it was during this time two wayward kids used their parent’s credit and debit cards to buy said credits. Later on the parents demanded refunds on the same, but Facebook frowned upon the idea, which was a violation of California law. (Facebook cites California law in its policies. And, the law states that minors may not exercise proper judgment when entering into contracts and it could be considered void if it involves personal property the child does not own.)
Not surprisingly, the parents filed suit against the social media giant in April 2012. That’s the story behind Facebook’s latest legal tangle. However, the juiciest part of the story is that judge Labson estimates that there may be thousands of potential plaintiffs who might surface seeking refunds when the case goes to trial on October 19.
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