It's not much of a surprise given all the commotion about the policy changes, but Instagram got sued over the new proposed policies, even after it amended them.
argues that the changes are a breach of contract, unfair business practices and a violation of California business code. A San Diego-based law firm is seeking class action status for the lawsuit.
One of the things that the lawyers are upset about is a change in the way Instagram licenses your photos, specifically, from a "limited" one to one which is "transferable" and "sub-licensable."
This is common for most other sites and it's probably needed so it can share photos with Facebook, but the lawyers are concerned nonetheless.
The prospect of getting millions of dollars from Facebook probably has little to do with the lawsuit.
There are other issues over which the lawyers are worried, the fact that Instagram retains the right to display your photos even after you delete your profile, and the fact that users waive the right to join class action lawsuits.