A jury in Santa Fe has ordered Meta to pay $375 million after finding the social media giant broke New Mexico laws designed to protect children. The verdict marks a rare legal blow against the company, which runs Facebook and Instagram.

Jury Finds Meta Violated Consumer Protection Laws

After nearly seven weeks of trial, a New Mexico state court jury concluded that Meta violated the state’s Unfair Practices Act by failing to protect children from predators on its platforms. Jurors determined that the company misled users and engaged in unfair practices by downplaying the risks associated with Facebook and Instagram. The $375 million penalty reflects thousands of violations identified during the case.

The lawsuit was brought in 2023 by New Mexico Attorney General Raúl Torrez following an undercover operation where agents created fake social media profiles of minors. These profiles were reportedly bombarded with solicitations and harmful content, exposing Meta’s inability or unwillingness to shield young users from abuse. The jury sided with prosecutors who argued Meta prioritized profits over safety.

Internal Meta Communications Reveal Concerns

Prosecutors presented internal messages from Meta employees during the trial, revealing worries about features like Facebook Messenger’s end-to-end encryption and its impact on law enforcement’s ability to track child sexual abuse material. CEO Mark Zuckerberg’s 2019 decision to enable default encryption was highlighted as complicating efforts to expose bad actors.

Meta denied the allegations throughout the trial, emphasizing its efforts to keep users safe and acknowledging the challenge of removing harmful content at scale. A Meta spokesperson said the company disagreed with the verdict and planned to appeal, claiming it has a strong record of protecting teens online.

Broader Impact on Social Media Regulation

This case is among the first of many lawsuits targeting Meta and other social media platforms over the mental health and safety of children.

Similar suits filed by over 40 state attorneys general accuse the company of engineering addictive features that harm young users.

At the same time, a federal trial in California is underway to determine if Meta and YouTube should be held liable for child harms on their platforms. These legal battles come amid growing calls for stricter regulations on social media, especially concerning minors’ access and safety.

Next Steps in New Mexico

The trial’s next phase begins May 4, without a jury, where a judge will decide if Meta created a public nuisance and whether the company must fund programs to mitigate the harm. Prosecutors are also pushing for operational changes, including better age verification and removing predators from the platforms.

Attorney General Torrez called the verdict a historic win for families affected by Meta’s failures. “Meta executives knew their products harmed children, disregarded warnings from their own employees, and lied to the public,” he said. The jury’s decision is a big message that social media companies must be held accountable for protecting vulnerable users.

Meta faces a growing wave of legal challenges that could reshape how social media platforms operate and protect children. How this verdict influences other cases and future regulations we'll have to wait and see.