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LinkedIn to Alter Contract Terms in Antitrust Case Settlement, No Payout Included

By  |  July 14, 2025
LinkedIn to Alter Contract Terms in Antitrust Case Settlement, No Payout Included

LinkedIn has agreed to make temporary adjustments to its contracting practices to resolve a lawsuit accusing the company of stifling competition, according to court documents filed Friday. The proposed class action settlement, which awaits judicial approval, does not include any monetary compensation to users.

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    The litigation, brought in 2022, alleged that LinkedIn used restrictive contract clauses to block potential rivals from entering the professional networking space, thereby enabling it to charge inflated prices for premium accounts and services. As reported by Reuters, plaintiffs claimed the company structured certain agreements to prevent third parties from competing—effectively “paying potential competitors not to enter the market.”

    While Microsoft, LinkedIn’s parent company, was not named as a defendant in the case, LinkedIn has denied any legal wrongdoing. A company spokesperson did not immediately respond to a request for comment, per Reuters. Lawyers for the plaintiffs also declined to comment on the matter.

    Related: Top Silicon Valley Tech Lawyer Moves to King & Spalding

    Under the terms of the agreement, LinkedIn has consented to refrain, for a period of three years, from enforcing contract clauses related to application programming interfaces (APIs) that would inhibit third parties from developing competing services. According to the settlement filing, previous contract terms gave certain business partners access to user data in exchange for agreeing not to challenge LinkedIn’s dominance.

    Plaintiffs argued that the temporary suspension of these restrictions could open the door for increased competition, potentially leading to lower prices and more choices for consumers.

    Approximately 9 million users are part of the settlement class, encompassing LinkedIn members who purchased premium services from January 13, 2018, to the present. These individuals will retain the right to opt out and pursue individual claims for damages, the filing notes.

    Although no financial award is included for users, the plaintiffs said they intend to submit expert analysis demonstrating the settlement’s value when it comes up for final approval. Their legal team plans to request up to $4 million in attorney fees.

    The case, Todd Crowder et al. v. LinkedIn Corp., is being heard in the U.S. District Court for the Northern District of California, under docket number 4:22-cv-00237-HSG.

    Source: Reuters