A New Mexico jury has found Meta Platforms (META) liable for failing to safeguard kids who use its apps and ordered the technology giant to pay $375 million U.S. in civil damages.
The jury said in its verdict that Meta, which operates social media sites such as Facebook and Instagram, failed to keep minors safe from child predators.
New Mexico’s Attorney General had accused Meta of violating state consumer protections laws and misled residents about the safety of apps like Facebook and Instagram.
During the trial, it came to light that Meta Platforms had, at one point, about 7.5 million child sexual abuse materials under internal review.
In the end, jury members found that Meta Platforms willfully violated the state’s unfair practices act and decided the company should pay $375 million U.S. in damages.
However, the fine is less than the civil penalty or more than $2 billion U.S. that state lawyers had sought.
Meta has repeatedly denied New Mexico’s allegations and said that it is “focused on demonstrating our longstanding commitment to supporting young people.”
The New Mexico trial now enters a second phase that will take place without a jury.
On May 4, a judge will determine whether Meta created a public nuisance and should fund public programs intended to address the alleged harms.
The New Mexico case is one of multiple social media trials taking place this year that experts have compared to the Big Tobacco lawsuits of the 1990s.
In both cases, corporations were accused of misleading the public about the safety and potential harms of their products.
META stock has declined 5% over the last 12 months to trade at $592.92 U.S. per share.
Tech Insider
