Many don’t understand that John Smith actually agreed to be part of this advertising, and that’s why Facebook is proposing a rewriting of its Statement of Rights so now that it now reads, according to CNET:
“You give us permission to use your name, and profile picture, content, and information in connection with commercial, sponsored, or related content (such as a brand you like) served or enhanced by us. This means, for example, that you permit a business or other entity to pay us to display your name and/or profile picture with your content or information, without any compensation to you. If you have selected a specific audience for your content or information, we will respect your choice when we use it.”
Thus, Facebook simply wants to ensure policies and practices are clear and well-defined in its user agreements, and users know exactly what they’re getting themselves into so there leaves no room for legal dispute.