(Toronto) Targeted by several class actions alleging that its mobile application violated the privacy of its users, Tim Hortons says it has reached a proposed settlement that would see the chain offer free coffee and a donut to those affected.
Posted at 2:38 p.m.
The company clarified that the settlement, negotiated with the legal teams involved in the lawsuits, still required court approval.
The coffeehouse chain pointed out that the deal would allow eligible users to receive a free hot drink and bakery product.
In court documents, Tim Hortons said it would also permanently delete any geolocation information it may have collected between 1er April 2019 and September 30, 2020, and that it would require third-party service providers to do the same.
The proposed settlement comes after the Privacy Commissioner of Canada and his provincial colleagues in British Columbia, Quebec and Alberta determined in a report last month that people who downloaded Tim Hortons’ app [avaient] had their movements tracked and recorded every few minutes each day, even when their app was not open, which violates Canada’s privacy laws.
The 23-month investigation was carried out after the journalist from the National Post James McLeod obtained data showing that the Tim Hortons app on his cell phone had tracked his location more than 2,700 times in less than five months, “and not just” when he was using the app.
In a statement, Tim Hortons said it was pleased to have reached a proposed settlement in the four class actions filed in Quebec, British Columbia and Ontario.
“All parties agree that this is a fair settlement and we look forward to the Quebec Superior Court’s decision on the proposal,” the company said.
“We are confident that pending approval of the settlement by the Quebec court, the courts in British Columbia and Ontario will recognize the settlement. »
The company clarified that the allegations raised in the class actions have not been proven in court and that the settlement is not an admission of wrongdoing.
Tim Hortons added that it will email customers on Friday advising them of the proposed settlement.
According to court documents, Tim Hortons calculates the retail value of a free hot beverage to be $6.19, while the value of a bakery item is $2.39 plus tax.
Customers would receive credit for the items through a coupon or on the Tim Hortons app, according to the documents.
A hearing in a Quebec court has been set for September 6 to consider the proposed settlement.
The company added that details about the distribution of the free hot drink and baked goods would be provided if the court approves the settlement.