A New Mexico state court has ordered Meta to pay $US567 million ($806 million) to a teen mental health fund and change how its platforms function for young users after finding the company to blame for harming children’s wellbeing.
Judge Bryan Biedscheid in Santa Fe ruled the company had created a public nuisance in New Mexico, siding with the state’s Attorney-General Raúl Torrez, a Democrat.
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Mr Torrez had accused the social media company of designing its products to addict young users and failing to protect children from sexual exploitation on its platforms.
Judge Biedscheid ordered the company to impose a range of youth-safety measures, including monthly limits on teens’ use of Facebook and Instagram, restrictions on notifications, tighter controls on adult contact with minors, safeguards for AI chatbots, and enhanced review of child sexual abuse reports, under a decree that will remain in place for five years.
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Meta said it will appeal the ruling and that it has been working to identify and remove harmful content from its platforms.
“We remain confident in our record of protecting teens online and will continue to defend ourselves against claims that misrepresent the facts,” Meta said in a statement.
New Mexico’s Mr Torrez said in a statement that Meta chose profit over child safety and the ruling was the first to force a social media giant to make changes protecting children.
“This is not just a judgment against one company. It is a blueprint,” Mr Torrez said.
“Now other states, and other countries confronting the same crisis, have a road map they can follow.”
The ruling came in the second phase of New Mexico’s lawsuit.
A jury in March had found Meta violated the state’s consumer protection law by misrepresenting the safety of Facebook and Instagram for young users.
It ordered the company to pay $US375 million ($533 million) in damages.
Judge Biedscheid heard three weeks of testimony during the second trial over the lawsuit, which did not involve a jury.
It focused solely on whether Meta’s platforms created a “public nuisance” under New Mexico law.
The case is being closely watched as states, municipalities and school districts across the US pursue similar claims seeking to force changes at the industry level.
Reuters/AP