Meta Fined $375M in New Mexico Lawsuit

Why this is here: The jury focused on Meta’s design choices and recommendation algorithms—not individual user posts—to bypass legal protections typically afforded to online platforms.
A New Mexico jury ordered Meta to pay $375 million after finding the company failed to protect minors on its platforms. The verdict followed a nearly seven-week trial examining alleged violations of the state’s Unfair Practices Act. Jurors determined Meta misled consumers about the safety of Facebook and Instagram.
The case stemmed from a 2023 undercover investigation called “Operation MetaPhile.” State agents created fake accounts posing as children under fourteen years old. Within days, the profiles received explicit content and contact from potential predators, leading to three arrests.
Evidence presented showed Meta executives knew about safety flaws but chose not to implement stricter age verification tools. This decision allegedly prioritized user growth and advertising revenue. Meta plans to appeal the decision, claiming it consistently works to remove harmful content.