A 31st July 2021 federal court filing shows that Zoom Video Communications Inc agreed to pay $85 million in preliminary settlements. The company also promised to strengthen its security practices.
Due to that, the platform was displaying racist language, pornography, and other inappropriate content to users.
The Zoom meeting hijacking was so bad, prompting the involvement of the FBI.
Zoom has maintained that it hasn’t done anything wrong. It has agreed, however, to refund its users partial subscription fees.
Lucy Koh, the US District judge will have to approve the proposition before Zoom starts making the payouts.
If it goes through, paid users will receive either $25 or 15% refunds on core subscriptions, depending on which is larger. Others could get $15 on the same.
New Security Measures
In an interview, the firm’s spokesman said that safety and privacy are its top priority.
Therefore, it will alert users if their hosts are using third-party applications going forward. It will also train employees on how to handle data and apply heightened privacy.
Zoom has made $1.3 billion from class members meeting subscriptions.
According to the plaintiff’s attorneys, the $85 million is fair. They plan to ask for legal fees amounting to $21.5 million.