Facebook has proposed a new settlement for a sponsored story spat, which would see the social networking maven pay $20m to complainants - double the original settlement, according to Reuters.
The case was brought by a group of users angered by the use of their images in sponsored Facebook posts, which they had not been consulted over.
Facebook had originally agreed a settlement of $10m, with the money being used to set up an online internet privacy organisation.
This settlement would be made under what's called a cy-près statute where a payment is made in the defendants interests. But the judge overseeing the case Richard Seeborg questioned why this was an appropriate amount and rejected it.
The updated settlement would now include money for those that complained as well as to cover all necessary legal fees - with anything left over than being given to a relevant charity, although this all remains subject to Seeborg's approval.
"We believe the revised settlement is fair, reasonable, and adequate and responds to the issues raised previously by the court," said a Facebook spokesperson.
The case is just one of several legal issues currently blighting the firm as it also faces a major, consolidated class action lawsuit by those affected by its flotation on the stock market in May which led to allegations of insider information being given to banks and financial institutions.
Despite this the firm recently announced it had passed the one billion user milestone as it remains the leader in the social networking market.
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