Meta Found Liable for Harming Children: $375M Judgment in New Mexico

A Recent Mexico jury on Tuesday found Meta Platforms, Inc. Liable for endangering young users of its platforms, Facebook and Instagram, in a landmark civil case. The company was ordered to pay $375 million in damages, a significant penalty though less than the roughly $2 billion sought by New Mexico Attorney General Raúl Torrez.

The verdict, delivered in Santa Fe, marks the first time Meta has been held accountable in a jury trial for issues related to the safety of children on its social media platforms, according to reports. Meta spokesperson said the company respectfully disagrees with the verdict and will appeal.

Attorney General Torrez initiated the lawsuit in 2023, alleging that Meta knowingly created a dangerous environment for children by exposing them to inappropriate content and potential exploitation by predators. The case centered on claims that Meta violated New Mexico’s consumer protection laws and misled residents about the safety of its apps. Torrez previously described an undercover operation involving a fake social media profile of a 13-year-traditional girl that was “simply inundated with images and targeted solicitations” from child abusers.

“The jury’s verdict is a historic victory for every child and family who has paid the price for Meta’s choice to position profits over kids’ safety,” Torrez said in a statement. He added that the damages awarded “should send a clear message to tech executives” that no company is above the law.

The jury found Meta willfully violated the state’s unfair practices act, determining the $375 million in damages based on the number of violations. Jurors heard six weeks of testimony from teachers, psychiatric experts, law enforcement officials, Meta employees and whistleblowers.

The $2 billion initially sought by the Attorney General was based on the number of monthly active users under the age of 18 in New Mexico, estimated to be over 200,000.

The New Mexico case is part of a broader wave of legal challenges facing Meta and other social media companies over the safety of young users. A similar trial is currently underway in Los Angeles, where Meta and Google are accused of intentionally designing addictive features into their platforms, contributing to mental health issues in a young woman. In that case, the plaintiff alleges that frequent use of Instagram and YouTube led to depression, anxiety, and body image issues.

Until recently, social media companies have largely been shielded from liability for user-generated content under Section 230 of the Communications Decency Act. However, plaintiffs in both the New Mexico and Los Angeles cases have adopted a new legal strategy, focusing on the design of the platforms themselves and the alleged failure to adequately warn users about potential dangers – a tactic similar to those successfully used against the tobacco industry.

The Los Angeles trial is being closely watched as a potential bellwether for thousands of similar lawsuits across the United States. Meta maintains its commitment to protecting adolescents online and intends to vigorously defend its practices.

Following the initial phase of the New Mexico trial, a bench trial is scheduled for May 4, where a judge will determine whether Meta created a public nuisance and whether the company should be required to fund programs to address alleged harms to children.