Instagram is now facing legal issues for last week's policy of service change.

The famous mobile photo-sharing network now owned by Facebook said on Monday, Dec.24, 2012 that it will remove language from its new terms of service and that user's photos could appear in ads. After the site hit a billion users, the company made several moves to address its self-admitted largest weakness and shifted to mobile devices.

According to a news report, the reaction from users for Instagram's suggestion was not just annoying, it was a deep sense of betrayal. "How dare Instagram do this?", the users refrained.

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All social media companies easily confuse you in connecting friends with friendship to earn much of you, the report added.

"These services are publicly advertised as 'free,' but the free label masks costs to privacy, which include the responsibility of monitoring how these companies sell data, and even how they change policies over time,'' said Chris Hoofnagle, director of Information Privacy Programs at the Berkeley Center for Law & Technology.

On the other hand, after Facebook had purchased Instagram, the users thought of what would happen to the popular site. The company informed their users that they would be introducing a new privacy policy for the site. This policy had little to do with changes to who would see pictures, instead, how the photos could be used.

A reporter said the company has "no way out."

Lately, according to The Sydney Morning Herald, "We believe this complaint is without merit and we will fight it vigorously," said Andrew Noyes Facebook representative in an email.