Four states want Meta to pay $1.4 trillion in youth addiction case

FILE-In this photo illustration, the Meta Platforms logo is seen displayed on a smartphone screen. (Photo Illustration by Thomas Fuller/SOPA Images/LightRocket via Getty Images)

Four states are seeking $1.4 trillion in penalties from Meta over allegations that the social media giant created Facebook and Instagram to be addictive to children and withheld information from the public about the harms the apps pose to young users.

Which states are pushing for Meta to pay?

Dig deeper:

FOX Business reported that this addiction case is being brought by California, Colorado, Kentucky and New Jersey. 

Meta revealed the $1.4 trillion amount in its response to the attorneys general filings on how penalties should be calculated if the states win at the trial set to start in August in Oakland, California.

RELATED: Facebook, Instagram could shutdown in New Mexico over child safety dispute

The trial reportedly will discuss allegations brought under that law, and the four states’ claims that Meta violated their state laws created to protect consumers by misleading the public about the safety of their social media platforms.

FOX Business noted that Meta has denied the accusation, arguing that the attorneys general lack ‌evidence that it ⁠misled the public about its platforms' alleged addictiveness because social media addiction is not a psychiatric condition.

Meta also contends that it didn’t violate the Children's Online Privacy Protection Act since the organization promoted Facebook and Instagram to a wider audience and not just children under 13 years of age. 

Meta releases statement on the case

What they're saying:

In a statement obtained by FOX Business, a Meta spokesperson said: "The plaintiffs’ outlandish calculations have no basis in fact or law. We’ll continue to defend ourselves against headline-seeking demands that are untethered from reality."

 The states' filings are sealed, but Meta explained during a hearing in June that the company is calculating the penalties by tallying up the number of infractions by fine amounts established by state law. 

RELATED: Meta violated child safety laws, jury says: What this means for social media

Citing Meta, FOX Business noted that the social media company said the number of violations is based on the estimated number of young users affected by Meta's social media platforms.

Almost 30 states have sued Meta in federal court, with most of them accusing the social media giant of violating the federal Children's Online Privacy Protection Act by gathering data from children without parental consent. And another 14 states have brought claims under their own laws, which will be heard at a separate trial in 2027.

Additionally, Meta, Snapchat, YouTube and TikTok are facing multiple lawsuits in both federal and state court over accusations they knowingly designed their platforms to be addictive to young users, contributing to a mental health crisis.

In March, New Mexico was the first state to go to trial, with a jury awarding it $375 million after determining Meta had misled consumers in the state.

The Source: Information for this story was provided by FOX Business and Reuters. This story was reported from Washington, D.C.



 

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