Over 10 million students may be eligible for settlement funds after PowerSchool, the cloud-software company that owns services such as Schoology, Naviance, SIS and more, agreed to a $17.25 million settlement in a class-action lawsuit against the company and several other entities.

The lawsuit, filed in 2023 against PowerSchool, other ed-tech companies and Chicago Public Schools, centered on the company’s Naviance service. According to the lawsuit, the ed-tech companies and other third parties conspired to unlawfully harvest student data without their consent, including names, student identification numbers, graduation years, demographic information, photos and survey responses. The complaint also alleged the defendants engaged in unlawful wiretapping and eavesdropping on private teacher and student communications.

The lawsuit also comes a year after PowerSchool suffered a significant data breach in which a significant number of students’ personal data was exposed, including medical information, social security numbers, academic records and personal identifiers.

In the settlement agreed upon by the parties, the companies involved denied wrongdoing on their part but agreed to provide relief to an identified 10 million students who used Naviance between Aug. 18, 2021, and Jan. 23, 2026. PowerSchool also agreed to create a committee to oversee advertising on Naviance, and will be restricted from using any software from a third-party in Naviance without the approval of said committee.

A final hearing will take place on Aug. 19 on whether to approve the final settlement.