Search engine outfit Google has agreed to write a cheque for $8.5 million to settle a class action settlement involving its Buzz social hub.

The lawsuit had been filed by users of  Gmail. In February, Google added a new social hub called Buzz, which let Gmail users track their frequently emailed contacts' status updates and other information shared online.

The class action suit claimed Google violated privacy rights by automatically adding Buzz to Gmail without making it clear what information would be shared and with whom.

Google has since made many changes to Buzz to ease privacy concerns. It said that it is creating a $US8.5 million fund, mainly to go to internet privacy and policy organisations. So it does not seem that actual users will get a dime. We guess this was one for the lawyers.