Class Action Lawsuit Filed Against Steak ‘n Shake for Biometric Data Collection Violations

Summary
Steak ‘n Shake faces a class action lawsuit for alleged violations of Illinois’ Biometric Information Privacy Act due to the unauthorized collection of facial recognition data at self-service kiosks. Filed by Michael Massel, the lawsuit claims the company failed to obtain proper consent or provide adequate notice before collecting customers’ biometric data, raising significant privacy concerns.

Steak ‘n Shake is facing a class action lawsuit filed by Michael Massel, an Illinois resident, on August 28 in a federal court. The lawsuit alleges that the restaurant chain unlawfully collected and utilized customers’ facial recognition data through their newly implemented self-service kiosks. This practice is claimed to violate the Illinois Biometric Information Privacy Act (BIPA), which mandates explicit consent from individuals prior to collecting biometric data, along with necessary disclosures regarding its use and retention. The kiosks, which were introduced in 2024 for efficiency in order processing and loyalty tracking, have raised significant privacy concerns due to the sensitive nature of the facial geometry data collected. Massel seeks to represent affected customers and requests damages up to $5,000 per violation, plus legal fees and a jury trial. This comes amidst a backdrop of growing scrutiny on biometric data collection practices in the retail industry.

Biometric data, particularly facial geometry, is a unique identifier that is directly linked to a person’s identity. Unlike traditional identifiers such as a Social Security number, biometric data is permanent and cannot be changed if compromised. The Illinois Biometric Information Privacy Act (BIPA) was established to protect individuals’ biometric identifiers by requiring companies to obtain informed consent before data collection, as well as to disclose their data handling practices. The introduction of self-service kiosks powered by facial recognition technology in the restaurant sector aims to streamline customer experience, but it raises significant privacy concerns related to the potential for unauthorized data collection and misuse.

The class action lawsuit against Steak ‘n Shake highlights the critical issues surrounding biometric data privacy, particularly in light of rapidly advancing technology in the food service industry. As consumers increasingly interact with automated systems that utilize sensitive biometric data, businesses must ensure compliance with legal requirements such as BIPA to protect consumer rights. The outcome of this case may set important precedents for similar lawsuits and the overall regulatory landscape surrounding biometric information.

Original Source: topclassactions.com

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