Court Orders Meta To Establish $567 Million Fund To Abate Harms To Youth

A New Mexico court ordered (PDF) Meta to create a $567 million fund to address harms linked to youth mental health and child sexual exploitation after finding its platforms constituted a public nuisance. “In sum, the Court finds that New Mexico is in the midst of a teen mental health crisis affecting public health and public safety in and throughout the state, and that Meta’s platforms are a significant contributing cause to the crisis,” wrote Chief Judge Bryan Biedscheid in the decision. The fund comes on top of $375 million in civil penalties, though the judge declined to mandate changes to features such as infinite scroll and autoplay, citing potential First Amendment and Section 230 concerns. Tech Policy Press reports: The decision follows the second phase of in the State of New Mexico v. Meta Platforms Inc., which consisted of a bench trial. Its central question was whether Meta’s platforms amounted to a public nuisance in New Mexico, and, if the court found that they did, what remedy would be needed to address it. In March, a Santa Fe jury found Meta liable for violations of New Mexico’s Unfair Practices Act, awarding $375 million in civil penalties. The jury deliberated less than a day following that nearly seven-week trial. The $567 million abatement fund would be in addition to the civil penalties, according to today’s decision.

New Mexico Attorney General Raul Torrez sued Meta in December 2023, alleging the company made false public statements about the safety of its platforms while knowing internally that its products facilitated child sexual exploitation. The court denied Meta’s Section 230 defense in May 2024. In today’s decision, the court again asserted that “Section 230 does not preclude the State’s public nuisance claim,” but the decision attempted to thread the needle on issues that the court determined might have run “afoul” of the statute, or of the First Amendment, such as issuing remedies around any particular product feature.

Read more of this story at Slashdot.

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