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Court Orders Meta To Establish $567 Million Fund To Abate Harms To Youth
A New Mexico court ordered Meta to establish a $567 million abatement fund for youth mental health and child exploitation harms after ruling its platforms constitute a public nuisance, adding to $375 million in civil penalties from a prior jury finding.
This ruling creates a legal pathway to hold platform companies financially liable for product design choices under public nuisance law, even though the court stopped short of mandating specific feature changes. The combined penalties approaching $1 billion from a single state lawsuit will likely encourage similar actions elsewhere.
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The court found Meta's platforms are a significant contributing cause to a teen mental health crisis, constituting a public nuisance under New Mexico law.
The $567 million abatement fund adds to $375 million in civil penalties from a March jury verdict finding Meta violated the Unfair Practices Act.
The judge declined to order changes to specific features like infinite scroll and autoplay, citing First Amendment and Section 230 concerns.
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