Reuters : A New Mexico state court ordered Meta (META.O), opens new tab on Thursday to pay $567 million into a teen mental health fund and change how its platforms function for young users after finding the company is 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 Attorney General Raúl Torrez, a Democrat. Torrez had accused the social media company of designing products to addict young users and failing to protect children from sexual exploitation on its platforms.The ruling comes five months after a New Mexico jury in an earlier phase of the case ordered Meta to pay $375 million after finding it violated consumer protection law by misrepresenting the safety of Facebook and Instagram for young users.
The case was being closely watched amid a growing wave of litigation accusing social media companies of harming young users. While many lawsuits have been brought by children and families over alleged injuries to individuals, states, municipalities and school districts have also pursued lawsuits seeking broad changes to the industry.
More than 40 states and over 1,300 school districts have filed public nuisance lawsuits against social media companies, seeking damages as well as court orders requiring changes to products and practices.
Biedscheid on Thursday ordered Meta to implement 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 be in place for five years.
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 Torrez said in a statement that Meta chose profit over child safety, and that the ruling was the first to force a social media giant to make changes protecting children.
