August 7, 2026

Court Orders Meta To Pay $567 Million For Social Media Harms

FILE - A Meta logo is shown on a video screen at LlamaCon 2025, an AI developer conference, in Menlo Park, Calif., April 29, 2025. (AP Photo/Jeff Chiu, File)

A court in New Mexico has ruled that Meta, the company behind Instagram and Facebook, must pay $567 million due to the damage its platforms have caused to young people. This follows a trial where Meta was found responsible for negatively impacting children’s mental health and failing to address child sexual exploitation on its platforms.

Allocation of Funds

The judge’s decision specifies that $420 million will be allocated to treatment services for young people. The remaining funds will support awareness and prevention initiatives, screening services, and other related costs over the next five years.

Previous Penalties

The ruling adds to the $375 million in civil penalties imposed on Meta earlier. The total $942 million Meta is obligated to pay is minimal compared to its $60 billion profit in 2025. Despite this, the ruling impacts Meta amidst various lawsuits from families claiming harm to children from social media.

Reactions and Appeal

New Mexico Attorney General Raúl Torrez emphasized the ruling’s significance in holding companies accountable for endangering children. Meta plans to appeal the decision, stating its commitment to safety on its platforms and disputing the claims made against it.

Mandated Changes

The court has ordered changes to Meta’s platforms to highlight protection features and best practices. These changes include informational screens and banners, subject to state review. Federal laws restrict age verification for children under 13.

The Children’s Online Privacy Protection Act prevents data collection from children under 13; hence, Meta must seek alternative methods for age assurance.

Meta must work on artificial intelligence tools to identify users’ ages and develop models predicting users under 13. The company should verify estimated minors’ ages and delete personal data from users it believes are under 13.

Meta also needs to collaborate with schools or child safety organizations to create a portal allowing school staff to report potential underage users. Regular progress updates are required.

Upcoming Trial in California

Meta faces numerous lawsuits, including a federal trial in California involving allegations from 29 states. These states accuse Meta of contributing to the youth mental health crisis by designing addictive social media features. Additional lawsuits have emerged against Meta, TikTok, Snap, and YouTube over user harms linked to their platforms.

America will not ban social media, Professor Laura Edelson remarked, but states are finding methods to control the harm from companies like Meta.

TAGS: