BY COMFORT OGBONNA
A jury in the U.S. state of New Mexico has found that Meta Platforms violated state consumer protection laws by misleading users about the safety of its social media platforms and failing to adequately prevent child sexual exploitation. The ruling marks a significant legal setback for the technology giant and could influence a growing number of similar lawsuits targeting social media companies across the United States.
After less than a full day of deliberations, the jury concluded that Meta had engaged in unfair and deceptive practices and ordered the company to pay $375 million in civil penalties. The case was brought by the office of New Mexico Attorney General Raúl Torrez, who accused the company of prioritizing profits over the safety of children using its platforms.
The lawsuit centered on allegations that Meta misrepresented the safety of its major social media services — Facebook, Instagram, and WhatsApp while failing to properly address risks such as child exploitation, harmful content, and contact between minors and online predators.
In response to the verdict, Meta said it strongly disagrees with the decision and plans to appeal the ruling.
“We respectfully disagree with the verdict and will appeal,” a Meta spokesperson said in a statement, adding that the company continues to invest heavily in safety tools and systems aimed at identifying harmful content and removing bad actors from its platforms.
Attorney General Torrez, however, described the outcome as a major victory for families and children across the state. He said the ruling demonstrates that technology companies can be held accountable when their platforms fail to protect young users.
“This is a historic victory for every child and family who has paid the price for Meta’s choice to put profits over kids’ safety,” Torrez said after the verdict. He added that the substantial damages awarded by the jury should serve as a warning to large technology companies that they remain subject to the rule of law.
The case now moves into a second phase scheduled for May, when the court will consider additional remedies. During that stage of the proceedings, Torrez’s office plans to ask the court to require Meta to implement stronger protections for children on its platforms. Prosecutors are also seeking further financial penalties and structural changes designed to reduce risks to young users.
Despite the verdict, Meta’s stock showed little immediate impact. Shares of the company rose slightly in after-hours trading following the decision. The state had originally asked the jury to impose more than $2 billion in damages.
The trial took place over six weeks in Santa Fe and included extensive testimony about the design and operation of Meta’s social media platforms. Prosecutors argued that the company allowed online predators to easily connect with underage users and failed to take adequate action even after internal warnings about safety risks.
According to attorneys representing the state, Meta’s systems often enabled adults to locate and communicate with minors, sometimes leading to real-world abuse and human trafficking. During closing arguments, lawyers for the state told jurors that the company had repeatedly failed to act honestly and transparently about the risks facing young users.
Meta’s legal team rejected those claims, arguing that the company has made substantial investments in moderation systems, safety tools, and transparency measures designed to prevent harmful activity. The defense said Meta clearly disclosed the challenges associated with moderating billions of pieces of content posted by users around the world.
The lawsuit also stems from an undercover investigation conducted by the attorney general’s office in 2023. As part of the probe, investigators created accounts on Facebook and Instagram posing as children under the age of 14. According to prosecutors, those accounts quickly received sexually explicit material and were contacted by adults seeking explicit content.
Authorities said the operation led to criminal charges against several individuals who allegedly attempted to exploit the fake accounts.
The state argued that the investigation demonstrated how easily predators could identify and communicate with minors on Meta’s platforms. Prosecutors also claimed that internal company documents showed Meta was aware of widespread safety problems but failed to implement basic safeguards such as reliable age verification systems.
Beyond the exploitation allegations, the lawsuit also accused Meta of designing its platforms in ways that encourage excessive use by young people. Features such as infinite scrolling feeds and automatically playing videos were highlighted as tools intended to maximize user engagement. According to the state, those features can encourage addictive behavior and contribute to mental health problems among teenagers.
The jury ultimately concluded that Meta knowingly engaged in deceptive business practices and took advantage of users who lacked full knowledge about the risks associated with its platforms. Jurors determined that the company committed 75,000 violations of the state’s consumer protection law and assessed penalties of $5,000 for each violation.
The ruling comes amid increasing scrutiny of social media companies over their impact on young users. In recent years, lawmakers, regulators, and researchers have raised concerns about the effects of social media on youth mental health, online safety, and privacy.
Meta has faced mounting legal challenges related to these issues. Thousands of lawsuits filed by families, school districts, and state governments accuse the company and other social media firms of deliberately designing addictive products that harm teenagers and contribute to a nationwide youth mental health crisis.
Many of those cases seek billions of dollars in damages and are currently moving through courts across the United States. One of the first major trials related to the addiction claims is currently underway in Los Angeles.
Meta has argued in multiple cases that it should be protected by the First Amendment of the U.S. Constitution as well as by Section 230 of the Communications Decency Act. That law generally shields internet companies from liability for content posted by users on their platforms.
However, the judge overseeing the New Mexico case rejected Meta’s attempt to dismiss the lawsuit under Section 230, allowing the case to proceed to trial.
In the next stage of the legal battle, the court will also examine claims that Meta’s practices created a public nuisance that harmed the health and safety of residents in New Mexico. If the judge rules in favor of the state, Meta could be required to implement additional safety reforms, including stronger age verification systems and improved methods for identifying and removing predators from its platforms.
Original article
Comments