Google (GOOG) Settles Buzz Privacy Lawsuit For $8.5 Million

September 3, 2010, 6:36 PM

Google (Nasdaq: GOOG) said on Friday that it will settle a class-action lawsuit for $8.5 Million, which was filed over the launch of the Google Buzz social-networking service.

The settlement proposal was filed in a federal court in San Jose, California on Friday. According to the court documents, the settlement will cover attorney fees and  be used to fund Internet privacy groups.

Back in February the company launched, Facebook alternative, Google Buzz but startled users are noticing that the social networking service made the names of users’ Gmail contacts public to all without warning. Although Google fixed the issue promptly, it wasn’t quick enough for the class action lawsuits that were to follow.

Google said it was “satisfied with the agreement” and “glad to move forward.” In a statement on Friday.

“We have always been committed to offering users transparency and choice in Buzz and all our products, and will continue to work together with users to provide the best user experience possible,” Google said.

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Tags: goog, google, lawsuit, Nasdaq, privacy