A jury in New Mexico has ruled that Meta, the parent company of Facebook and Instagram, is liable for violating consumer protection laws, resulting in a substantial $375 million penalty. The state’s Attorney General accused the company of failing to adequately protect underage users from online predators.
Attorney General Raúl Torrez initiated the lawsuit against Meta in 2023 following an undercover investigation. This operation involved the creation of a fictitious profile for a 13-year-old girl, which was quickly inundated with explicit images and harassment from predators, according to Torrez.
The jury concluded that Meta intentionally breached state consumer protection laws after deliberating since Monday, ultimately reaching their verdict on March 24. In response, Meta has announced plans to appeal the decision.
“We are committed to ensuring the safety of people on our platforms,” a company spokesperson stated.
Torrez characterized the verdict as a “historic victory for every child and family.” He alleged that Meta’s leadership was aware of the potential harm their products posed to children, disregarding warnings from their own employees and misleading the public.
During the trial, prosecutors presented internal communications from Meta employees, which included discussions about a statement made by CEO Mark Zuckerberg in 2019 regarding the implementation of default end-to-end encryption in Facebook Messenger. Employees expressed concerns that such measures could hinder law enforcement’s ability to report child sexual abuse material, with estimates suggesting around 7.5 million such messages could be affected.
The second phase of the trial is set to begin on May 4, which will proceed without a jury. The judge will determine whether Meta has caused societal harm and if the company should fund programs to mitigate the consequences. Additionally, state attorneys are pushing for Meta to implement effective age verification, remove predators from its platforms, and protect minors from encrypted communications.
A New Mexico jury has found Meta liable for consumer rights violations, mandating a $375 million payout. The ruling follows an investigation revealing the company's inadequate protections for minors against online predators, with further legal proceedings scheduled.