LifeStance’s $2 Million Privacy Deal Nixed Over Attorneys’ Fees

A federal court rejected LifeStance Health Group Inc.'s nearly $2 million proposed settlement of a lawsuit alleging it used tracking technology from Meta Platforms Inc. and Google LLC on its website in violation of California privacy laws.

The proposed attorneys’ fee award was disproportionately high compared to the relief offered to class members, and the deal included an apparent “clear sailing arrangement” that created an implication of collusion between class counsel and LifeStance at the expense of the class, Judge Krissa M. Lanham of the US District Court for the District of Arizona said Monday.

Lanham gave the parties 30 ...