A New Mexico jury on Tuesday found that Meta violated the state’s consumer protection law by failing to disclose risks its platforms pose to children and by misleading the public about safety on services that include Facebook, Instagram and WhatsApp.
The verdict capped a nearly seven-week trial in Santa Fe and is among the first jury decisions in a wave of lawsuits nationally over how social media affects young users, including claims tied to child safety and mental health.
Jurors sided with state prosecutors who argued Meta prioritized engagement and profits over protecting children, and they found the company’s conduct amounted to thousands of separate violations under New Mexico’s Unfair Practices Act, triggering civil penalties that total $375 million.
What the New Mexico Jury Decided
Jurors found Meta violated parts of New Mexico’s Unfair Practices Act on allegations the company concealed what it knew about the dangers of child sexual exploitation on its platforms and the impacts on children’s mental health.
The jury also agreed with claims that Meta made false or misleading statements and engaged in “unconscionable” trade practices that took advantage of children’s vulnerability and inexperience, according to trial reporting.
In a separate statement after the verdict, the New Mexico Department of Justice said the jury ordered the maximum civil penalty allowed under state law—$5,000 per violation—totaling $375 million.
Meta said it plans to appeal.
“We respectfully disagree with the verdict and will appeal,” a company spokesperson told Newsweek in a statement, adding that Meta works to keep people safe and is “clear about the challenges of identifying and removing bad actors or harmful content.”
How Prosecutors Argued the Case
New Mexico’s lawsuit, filed in 2023 by Attorney General Raúl Torrez, relied in part on a state undercover investigation in which agents created social media accounts posing as children to document sexual solicitations and how the company responded, according to reporting on the case.
Prosecutors argued that even if harmful material can originate with users, Meta should still be accountable for how its systems amplify and distribute content. They pointed to the role of complex algorithms and platform features in driving engagement, including among minors, and said those design choices can push harmful material more widely.
During closing arguments, prosecution attorney Linda Singer told jurors that “young people are spending too much time on Meta’s products” and said the company knew about safety issues but did not disclose them.
In its post-verdict statement, the New Mexico Department of Justice framed the decision as a first-of-its-kind trial win by a state against a major tech company over claims that users were misled about child safety.
“The jury’s verdict is a historic victory for every child and family who has paid the price for Meta’s choice to put profits over kids’ safety,” New Mexico Attorney General Raúl Torrez said in a statement shared with Newsweek. “Meta executives knew their products harmed children, disregarded warnings from their own employees, and lied to the public about what they knew. Today the jury joined families, educators, and child safety experts in saying enough is enough.
“New Mexico is proud to be the first state to hold Meta accountable in court for misleading parents, enabling child exploitation, and harming kids. In the next phase of this legal proceeding, we will seek additional financial penalties and court-mandated changes to Meta’s platforms that offer stronger protections for children.”
Meta’s Defense: Safeguards, Disclosures and Limits
Meta’s attorneys argued that the company discloses risks, invests in youth protections and works to remove harmful content, while acknowledging that some material can slip through enforcement efforts.
In closing arguments, Meta attorney Kevin Huff pointed to company safety investments and argued that Meta’s products are designed to connect people—not to facilitate harm. “Meta designs its apps to help people connect with friends and family, not to try to connect predators,” he said.
Meta also has argued more broadly in litigation that it is shielded from liability by the First Amendment and by Section 230 of the Communications Decency Act, a federal law that generally limits lawsuits over user-generated content, according to Reuters reporting.
New Mexico, in turn, argued that the case is not only about what users post but about what the company allegedly knew, failed to disclose and how it designed and operated systems that can promote harmful experiences for children.
Why the $375 Million Penalty Matters
The jury’s findings included “thousands of violations,” with each violation counted separately toward the civil penalty, resulting in the $375 million total, according to the AP account and state officials.
Reuters reported the penalty as civil penalties ordered under the state’s consumer protection law, highlighting the case as the first jury verdict on these claims against Meta as the company faces broader litigation over youth safety and mental health.
State officials have indicated the case may continue. The New Mexico Department of Justice said it expects an additional phase seeking further financial penalties and court-mandated changes to Meta’s platforms, while other reports describe a potential later phase focused on whether Meta created a public nuisance.
The Verdict’s Place in a Bigger Wave of Lawsuits
The New Mexico case is among the first to reach trial in a national surge of litigation involving social media platforms and their impacts on children.
More than 40 state attorneys general have filed lawsuits against Meta alleging the company contributes to a youth mental health crisis by designing features that are difficult for young users to disengage from, according to the AP report.
The New Mexico trial also unfolded as other high-profile cases move forward. The AP report noted that jurors in a federal court in California have been sequestered in deliberations for more than a week in a separate case involving claims against Meta and YouTube.
What’s Next in Court and in Policy Debates
The New Mexico trial featured testimony from teachers, psychiatric experts, state investigators, Meta executives and former employees, along with internal documents and reports related to child safety, according to the AP account.
Those themes—teen safety tools, age enforcement, and how platforms respond to harmful conduct—are also central to policy debates as lawmakers and school districts push for more limits on smartphones and social media use by minors.
For now, Meta has said it will appeal and continues to defend its record of protecting teens online, while New Mexico officials are framing the verdict as a turning point aimed at increasing accountability and forcing stronger safeguards for children.
This article includes reporting by the Associated Press.
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