« As the name suggests, « Find Friends » lets consumers quickly discover if any of their contacts are using the app too. But according to the users in the case, the app makers violated their privacy by failing to inform them that « Find Friends » would transfer user’s contact lists to company servers.The companies have fought the lawsuit for years, complaining in part that storing users’ contact lists on the server was necessary for the « Find Friends » tool to function. But U.S. District Judge Jon Tigar pushed back, saying the firms should have been more explicit about what they were doing ».

Source : Instagram, Twitter Could Pay Users $5.3 Million in Privacy Settlement | Fortune.com