Meta was ordered to pay $942 million to address the harm caused by social media to children
A New Mexico judge ruled that Meta must pay $942 million to address the harm caused by social media to children, including establishing a $567 million harm elimination fund and a $375 million fine. Meta is required to limit usage time for teenagers, hide the number of likes, and disclose risks. Meta has expressed objections and will appeal. This case marks the first landmark ruling to test the responsibility of social media platforms, and Meta is facing thousands of similar lawsuits
A judge in New Mexico ruled on Thursday that Meta Platforms must pay over $900 million and restrict the amount of time teenagers can use Facebook and Instagram. This ruling significantly raises the cost of a landmark judgment against the company regarding child safety issues.
Specifically, Judge Bryan Biedscheid ordered Meta to establish a new $567 million harm elimination fund, in addition to paying a $375 million civil penalty previously determined by a jury. Furthermore, the company must implement a series of safety measures in New Mexico: limiting usage time for underage users, defaulting to hide the number of "likes" on their photos, and disclosing potential risks of the platform to users. The judge noted that establishing the fund is "necessary due to the widespread impact of harm and the complexity of remedies." The fund amount is slightly lower than the $779.5 million originally requested by the state attorneys.
This ruling stems from a lawsuit filed by Attorney General Raúl Torrez. The lawsuit accused Meta of allowing young users to be exposed to explicit content and making them vulnerable to predatory individuals. In March of this year, a jury found that Meta intentionally violated state consumer protection laws. Torrez stated, "New Mexico is leading the way in court. Now, other states and countries facing the same crisis have a roadmap to follow."
Meta has expressed disagreement with this ruling and plans to appeal. A company spokesperson stated, "We remain confident in our record of protecting youth online and will continue to defend ourselves against these distorted allegations."
This case is the first formal examination of whether social media companies should be held accountable for the content on their platforms. Currently, Meta is facing thousands of lawsuits filed by state attorneys general, school districts, and individual plaintiffs, which generally accuse the company of prioritizing user growth over the safety of underage users.
Related legal actions are still ongoing. The next trial, jointly filed by four state attorneys general, will begin jury selection next week in Oakland, California. Meta revealed in court documents that the plaintiffs are seeking over $1 trillion in damages. Additionally, earlier this year, a jury in Los Angeles found Meta and YouTube liable in a case involving a young woman whose mental health issues were caused by excessive use of their products. Last week, Meta disclosed that legal proceedings alone in the second quarter resulted in a loss of $2.4 billion
