Meta Ordered to Pay $567 Million Over Child Mental Health Harms in Landmark New Mexico Case

Court Finds Meta’s Platforms Constitute a Public Nuisance

The $567 million award came during the second phase of State of New Mexico v. Meta Platforms, Inc., a case brought by New Mexico Attorney General Raúl Torrez.

In March, a New Mexico jury found Meta liable under the state’s Unfair Practices Act after the state alleged that the company misled consumers about the safety of its platforms and endangered children. The jury imposed $375 million in civil penalties.

The case then moved into a second phase before District Judge Bryan Biedscheid to determine whether Meta’s platforms constituted a public nuisance and what remedies should be imposed.

The court ultimately found Meta’s platforms to be a significant contributing cause of a youth mental health crisis affecting public health and safety in New Mexico and ordered the company to provide $567 million for an abatement fund.

The latest award brings the financial consequences imposed on Meta in the New Mexico litigation to approximately $942 million.

$567 Million Fund Will Address Youth Mental Health Harms

The court-ordered abatement fund is intended to address the alleged harms associated with children’s use of Meta’s platforms.

Of the $567 million, approximately $420 million is expected to support treatment services in New Mexico. The remaining funds will support measures including prevention, public awareness, screening, and oversight over five years.

The ruling goes beyond financial penalties. The court also ordered changes intended to strengthen protections for children and teenagers using Meta’s platforms.

Those measures include enhanced efforts to identify underage users, additional child safety protections, and cooperation with schools regarding accounts belonging to children under 13. Meta will also be required to report periodically on its compliance with the court’s requirements.

New Mexico Verdict Adds to Growing Pressure on Social Media Companies

Thousands of families across the country have filed social media addiction lawsuits alleging that companies, including Meta, TikTok, Google, and Snap, deliberately designed social media products with features that encourage compulsive use among young people.

Plaintiffs in those cases allege that features such as algorithmic recommendations, endless scrolling, notifications, and other engagement tools can encourage excessive platform use and contribute to depression, anxiety, eating disorders, self-harm, and other serious injuries.

The New Mexico action is different from those individual personal injury lawsuits because the state brought it under New Mexico law. However, the ruling adds to a growing body of court decisions examining whether technology companies can be held legally responsible for alleged harms arising from the design and operation of their platforms.

Social Media Addiction Litigation Continues Nationwide

The New Mexico decision arrives at a particularly important time for social media litigation.

In California, more than 3,000 social media addiction lawsuits have been coordinated before Los Angeles Superior Court Judge Carolyn B. Kuhl. Earlier this year, a California jury found Meta and Google liable for injuries suffered by a young woman who alleged that she became addicted to their platforms as a child. The jury awarded approximately $6 million in damages.

Additional bellwether cases are scheduled to proceed in California. However, TikTok recently reached agreements in principle to resolve claims brought by three teenage plaintiffs before their trials.

Thousands of similar cases are also proceeding in the federal Social Media Adolescent Addiction/Personal Injury Products Liability multidistrict litigation, MDL No. 3047  in the U.S. District Court for the Northern District of California.

Together, these proceedings are testing significant legal questions about the responsibilities social media companies have when designing products used by children and whether those companies may be held accountable when those products allegedly contribute to serious injuries.

Meta Plans to Appeal the New Mexico Ruling

Meta has disputed the allegations against the company and has said it plans to appeal the New Mexico decision.

The company maintains that it works to protect young people on its platforms and has challenged claims that its practices are responsible for the harms alleged in the litigation.

The appeals process means the New Mexico ruling is unlikely to be the final word in the case. Still, the nearly $1 billion in combined penalties and abatement funding represents one of the most significant legal consequences imposed on a social media company in litigation concerning child safety.

Levin Papantonio’s Leadership in Social Media Litigation

Levin Papantonio is actively involved in pursuing justice for children and families affected by alleged social media addiction and related harms.

Attorney Emmie Paulos has served on the Plaintiffs’ Steering Committee for the Social Media Adolescent Addiction Personal Injury Products Liability Litigation, MDL No. 3047, since 2022, helping lead the national litigation involving claims against some of the world’s largest social media companies.

The New Mexico ruling, recent bellwether developments, and thousands of pending cases across the country reflect increasing scrutiny of how social media platforms are designed and the potential consequences those design decisions may have for young users.

Sources: Reuters; BBC; PBS NewsHour; The New York Times; The Verge

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