Meta Platforms Inc.META
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Lawsuit alleging child safety and consumer protection violations goes to trial, with potential damages up to $1.4 trillion.
Impact on stocks 1
Spatial Computing / AR/VR
Meta Platforms Inc.Meta will face off against attorneys general from several states in an Oakland, California courtroom Tuesday as part of a major lawsuit alleging the company violated child safety and consumer protection laws and harmed children's mental health. The trial, held before District Judge Yvonne Gonzalez Rogers in US District Court for the Northern District of California, is part of a lawsuit filed by 29 states in 2023 and will serve as a bellwether for future proceedings. California, Colorado, Kentucky, and New Jersey are taking part, with testimony expected from Meta CEO Mark Zuckerberg and Instagram CEO Adam Mosseri. The plaintiffs claim Meta developed psychologically manipulative features to maximize young users' time on its platforms and knowingly allowed children under 13 on its platform, collecting their data without parental consent in violation of the Children's Online Privacy Protection Act. Meta denies the allegations and opposes potential damages it says could be as high as $1.4 trillion, while its market capitalization is roughly $1.5 trillion.
Meta Platforms Inc.Lawsuit alleging child safety and consumer protection violations goes to trial, with potential damages up to $1.4 trillion.