$1.5M+ DX Enterprises Settlement Ends Class Action Lawsuit Over Alleged Biometric Privacy Violations
McClaine v. DX Enterprises, Inc.
Filed: April 6, 2023 ◆§ 3:23-cv-01168
DX Enterprises has agreed to pay more than $1.5 million to settle a class action that alleged the company unlawfully captured, used and shared employees’ biometric data.
Illinois
DX Enterprises, Inc. has agreed to pay more than $1.5 million to settle a class action lawsuit that alleged the staffing company unlawfully captured, used and shared employees’ biometric data without notice or consent.
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The court-authorized website for the DX Enterprises class action settlement can be found at DXEnterprisesBIPASettlement.com.
The deal with DX Enterprises, which also does business as DXE and Gibson County Quality Assurance LLC, was granted final approval by the court on April 15, 2025. The settlement covers all individuals who had their biometric information collected, received, converted, stored, used, disclosed or disseminated by DX Enterprises in Illinois between February 27, 2018 and January 7, 2025 without first executing a written release.
According to the settlement agreement, there are approximately 586 class members, including a group of 86 people who were rehired by the company at least once.
Eligible class members do not have to do anything to receive a share of the $1,519,796.84 settlement fund, which will be distributed on a pro rata basis after payment of attorneys’ fees, service awards and administration costs.
Per the DX Enterprises settlement website, individual payout amounts are estimated to be $2,444.74 each, with members of the 86-person subclass receiving an additional $846.40 for each instance they were rehired.
A final approval hearing was held on April 15, 2025. Now that the class action settlement has received the final okay from the court, DX Enterprises settlement payouts will be mailed to eligible class members within 21 days of the date the deal goes into effect, the agreement relays.
The DX Enterprises class action lawsuit contended that the company violated the Illinois Biometric Information Privacy Act (BIPA) by collecting, using and sharing workers’ fingerprint scans with a third-party timekeeping vendor without prior written notice or authorization. In addition, the BIPA lawsuit claimed the staffing agency failed to create or follow a publicly available retention schedule and destruction policy for the biometric data it stored, as required by state law.
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