Reference no: EM133411466

Case name: Tim Hortons - Mobile Application Privacy Class Action Quebec Superior Court file #: 500-06-001081-203 What was the purpose of the Class Action? According to the Plaintiffs, the Defendants collected geolocation data of users of the Tim Hortons App who are Canadian residents without adequate notice to users and obtaining appropriate consent and was contrary to the Defendants' representations with respect to the collection of geolocation data. The Plaintiffs claimed that the Defendants' practice at issue constituted breaches of the Civil Code of Quebec, of the Quebec Charter of Human Rights and Freedoms, of federal and provincial privacy legislation, of provincial consumer protection legislation, of the Competition Act, breach of contract, intrusion upon seclusion, statutory privacy torts and breach of trust. The Amended Application to Authorize the Bringing of a Class Action and to Appoint the Status of Representative Plaintiff is available below. These allegations have not been proven in Court and are contested by the Defendants, whose position is that they have complied at all times with all applicable legislation and did not commit any wrongdoing of any kind. The parties have agreed to a national settlement of the claims, without any admission of liability. Copies of the settlement and notice to class members are accessible below. Class authorized for settlement purposes: All Canadian Resident users of the Tim Hortons® application with registered accounts in Canada whose geolocation information was collected by any of the Defendants between April 1, 2019, and September 30, 2020. Terms of the Settlement: Without any admission of liability, for the purpose of avoiding a trial and the additional costs and expenses related thereto, the Defendants agree to the following: 1. Provide each Eligible Member with one credit to be used to make a purchase of one free Hot Beverage and one free Baked Good from any participating Tim Hortons store within Canada in the form of a single, one-time use only, non-transferable, non-refundable and non-cash convertible credit, redeemable at check-out, whether with a coupon or using the Tim Hortons App (each, a "Credit"). "Baked Good" means a baked good that has a maximum retail value of $2.39 CAD plus taxes each, such as, by way of example, a croissant, a muffin, a cookie, a bun, a biscuit or a doughnut. "Hot Beverage" means a hot beverage that has a maximum retail value of $6.19 CAD plus taxes each, such as, by way of example, a brewed coffee, a hot latte, a hot cappuccino, a hot espresso, a hot cortado, a hot tea or a hot chocolate. 2. Each Credit will be deposited on the Tim Hortons App, and applied directly to each Eligible Members' Account, where such Account is active at the time of the distribution of Credits. Once deposited in an Eligible Member's Active Account, the Credit must be redeemed within twelve (12) months of its deposit, after which period the Credit will expire and be removed from the Eligible Members' Accounts. If an Eligible Member with an Active Account fails to redeem the Credit during this initial period of twelve (12) months, such Eligible Member may, during a subsequent period of twelve (12) months, contact the Defendants' guest services (contact information to be included in the Notice of Approval of the Transaction) and provide the email address linked to such Account. Upon validation that the claim is an original claim made by an Eligible Member, a Credit will be issued by email to such Eligible Member. Such a Credit will expire at a date twenty-four (24) months from its initial issuance. 3. Should an Eligible Member no longer have an Account on the App, a Credit may be issued to the email address on file. Where an Eligible Member no longer has an Account and does not receive an email with a Credit, such Eligible Member will be able to contact the Defendants' guest services (contact information to be included in a subsequent notice). Upon validation that the claim is an original claim made by an Eligible Member, a Credit will be issued by email to such Eligible Member. In all cases, each Credit will expire twenty-four (24) months from its initial issuance. 4. Within ninety (90) days from the Settlement entering into effect, the Defendants shall take the appropriate measures to permanently delete any geolocation information about group members that may be in their possession and shall instruct its third-party vendor, Radar Labs Inc., to do the same.

Question: What are the ethical implications of this settlement for the use of customer data?