Marques Brownlee Speaks Out on Influencer Lawsuit Against PayPal’s Honey Extension

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This video is uploaded from Frame.ioPopular tech YouTuber Marques Brownlee, known as MKBHD, has addressed the recent controversy surrounding the Honey browser extension, which is now at the center of a $5 million class-action lawsuit against its parent company, PayPal. In a December 31st video titled “The Honey Scam: Explained,” Brownlee expressed his dismay over allegations of affiliate revenue withholding and discount code manipulation by Honey, distancing himself from the platform by removing its ads from his content. The controversy gained traction following a viral exposé by investigative YouTuber MegaLag, which alleged deceptive practices and implicated numerous influencers. The fallout has been significant, with over 3 million users reportedly uninstalling the extension.  The scandal has prompted responses from other high-profile creators, including Linus Sebastian of Linus Tech Tips, who shared that he ceased promoting Honey years ago due to concerns about link hijacking. Meanwhile, legal action spearheaded by YouTuber and lawyer Devin James Stone (LegalEagle) accuses Honey of unfair practices harming creators and consumers alike. Despite the backlash, PayPal has denied the allegations, asserting that Honey adheres to industry standards and benefits shoppers and merchants. The situation has sparked widespread online debate about transparency in influencer marketing and ethical data practices.

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00:00Popular tech YouTuber Marquise Brownlee has weighed in on the recent fraud allegations against Honey,

00:06the popular coupon code extension owned by PayPal. The allegations have sparked a class action

00:11lawsuit involving high-profile YouTubers and raised concerns about the extension's data practices

00:17and transparency. Brownlee, also known as MKBHD, responded to a now-viral YouTube video by

00:23investigative YouTuber Jonathan, known online as Megalag. In the video, Brownlee stated,

00:29It involves almost every high-profile creator that I can think of, including myself.

00:34Brownlee, who previously collaborated with Honey for three sponsored videos,

00:38addressed the allegations in a December 31st video titled,

00:41The Honey Scam Explained, stating,

00:44Obviously, if I had known any of this, I would never have worked with Honey.

00:48In a move to distance himself from the browser extension, Brownlee revealed that he has

00:52removed Honey ads from his videos, ensuring he no longer promotes the service. And according to 9to5

00:58Google, over 3 million people have allegedly uninstalled Honey as well.

01:03In Megalag's video, now boasting over 15 million views, Honey didn't provide the

01:07best discounts to online shoppers, stating, The key benefit for stores partnering with Honey

01:13is that they're given full control over which coupon codes go live on the platform, if any at

01:18all. Linus Sebastian, creator behind Linus Tech Tips, and someone mentioned throughout Megalag's

01:24video, addressed the allegations in his latest WAN episode. In the video, Linus shared that he

01:30dropped Honey as a sponsor three years ago because he learned about their link hijacking, while

01:34noting, As far as we knew then, it had no impact on the user. We had no idea about the other

01:40misdeeds until the story broke last week. Claims against Honey have ignited backlash

01:46across the internet and led to a $5 million class-action lawsuit against PayPal filed on

01:52December 29th. PayPal now faces two influencer-led lawsuits, one is being spearheaded by YouTuber

01:58and American lawyer Devin James Stone, who goes by Legal Eagle on YouTube. Stone claims Honey

02:05overwrote affiliate links, diverting commissions intended for influencers and marketers to itself,

02:10even those created by its promotional partners. Additionally, the lawsuit accuses Honey of

02:16manipulating coupon codes to benefit retailers over consumers, violating fair competition laws,

02:22and damaging creators' income and business relationships. A PayPal spokesperson has

02:27recently denied allegations in response to Tom's guide, while emphasizing that Honey is free to use,

02:33offers savings to shoppers, and helps merchants increase sales. Ending their statement with,

02:38Honey follows industry rules and practices, including last-click attributions, which is

02:43widely used across major brands. As the story continues to develop,

02:47let us know your thoughts in the comments and follow us everywhere at What's Trending.

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