Google Faces USD425M U.S. Privacy Verdict, USD378M Fine in France

(MENAFN) Google has encountered significant legal blows across the US and Europe, facing a $425 million jury verdict in the United States and a €325 million ($378 million) fine from French privacy authorities for improper data practices.

In the US, a federal jury ruled Wednesday that Google must pay over $425 million to nearly 100 million users who claimed the tech giant unlawfully collected their app activity data despite privacy settings intended to prevent such tracking, Courthouse News Service reported. The jury found that Google breached user privacy by gathering data even when the “Web & App Activity” setting and an associated sub-setting were turned off.

However, the jury also determined that Google did not violate the California Comprehensive Computer Data Access and Fraud Act, according to the report.

The 2020 lawsuit initiated by Anibal Rodriguez alleged that Google misled users into thinking they had control over the data the company collected. According to David Boies, the plaintiffs’ attorney, Google promoted a “false control story,” assuring users they could access, manage, and erase their information, when in fact their options were extremely limited.

Google’s defense argued that the company believed it had user consent to collect limited information and that users were informed of this. The jury awarded compensatory damages, recognizing the monetary value of user data, but denied punitive damages, citing lack of proof of direct harm.

Users had sought compensatory damages exceeding $30 billion.

Meanwhile, in France, the National Commission for Information Technology and Civil Liberties (CNIL) imposed a €325 million ($378 million) penalty on Google and a €150 million fine on fast-fashion retailer SHEIN for violating cookie laws, per an official CNIL statement.

The fines stem from a crackdown launched in 2019 targeting unlawful tracking and targeting of internet users. CNIL found that both companies failed to secure clear, informed consent before placing cookies on users’ devices. Additionally, Google was reprimanded for breaching Article L.34-5 of the French Postal and Electronic Communications Code by showing ads in Gmail’s “Promotions” and “Social” tabs without prior user consent.

CNIL clarified that while cookie walls—which require users to accept tracking to access services—are not inherently illegal, consent must be freely given with balanced options.

Though compliance with advertising cookie regulations has improved, the French regulator warned it will remain “vigilant” against non-compliant practices and the increasing use of “cookie walls,” which condition service access on accepting cookies.

These twin rulings underscore escalating global scrutiny of Google’s data collection and privacy practices, emphasizing the growing regulatory pressure on tech giants.

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