- Key Insight: Capital One has reached a "settlement in principle" with content creators that filed a lawsuit against the credit card giant for allegedly stealing sales commissions.
- What's at Stake: Details of the settlement agreement are still being negotiated between the parties.
- Supporting Data: Capital One's coupon-finding browser extension is used by approximately 10 million people, according to the lawsuit.
Capital One Financial has agreed to settle a class-action lawsuit filed by social media influencers who accused the credit card giant of manipulating software to steal sales commissions from online marketers.
The plaintiffs had alleged that a coupon-finding browser extension on Capital One's website cheats influencers, content creators and website operators out of commissions to which they would otherwise be entitled after consumers make purchases based on the marketers' suggestions.
The browser extension, known as "Capital One Shopping," substitutes the bank's own affiliate marketing cookie in place of the online marketers' cookie, according to the plaintiffs. Their suit describes a process in which tracking tags used during the online shopping checkout process are altered so that Capital One appears as the referrer and collects the sales commission.
Last week, attorneys for both sides notified the U.S. District Court for the Eastern District of Virginia that they had reached "an agreement in principle to settle" the dispute and that they were "working to negotiate a comprehensive letter agreement" over the course of the next several weeks. The letter did not disclose the size of any payments Capital One has agreed to make to settle the suit.
The plaintiffs plan to file a motion for preliminary approval no later than Nov. 17, according to the letter, and both sides are asking the court to set a Dec. 2 hearing date in the event that the court prefers to hold a hearing to determine whether or not to approve the settlement.
A Capital One spokesperson did not respond Monday to a request for comment about the case, which was filed on Jan. 6, 2025. The plaintiffs' attorneys also did not respond.
The lawsuit against Capital One, which is the largest U.S. credit card lender following the
At issue is whether the browser extensions, which include
Capital One
Approximately 10 million people use Capital One's browser extension, according to the lawsuit.
Plaintiffs Jesika Brodiski of Renton, Washington, and Peter Hayward of Los Angeles alleged in the lawsuit that Capital One's browser extension "silently and invisibly removes affiliate cookies and tracking tags that would otherwise credit the rightful salesperson — the influencer — with the sale of that particular product or service."
Brodiski allegedly received $20,000 in commission payments last year from products purchased through her affiliate marketing links, but would have earned more if not for Capital One's browser.
The lawsuit did not disclose Hayward's total commission payments in 2024. But it said that Hayward, who has a YouTube channel, would also have earned more money if not for "Capital One's scheme to usurp commissions through the Capital One Shopping browser extension."
Brodiski has several marketing affiliate links with Walmart while Hayward is part of Amazon's affiliate marketing platform, according to the lawsuit.
