Meta and Google have lost two lawsuits over the impact of their platforms on mental health. Will the first rulings start an avalanche of similar lawsuits?
In just two days, companies Meta i Google lost two multi-million lawsuits due to addiction and influence on mental health user.
The first verdict was handed down by a jury in New Mexico, and the second by a judge in Los Angeles.
After such decisions, the shares of Meta fell, and experts indicate that the first judgments could lead to an avalanche of similar lawsuits.
These decisions could set a precedent for hundreds of similar cases and lead to major changes in the way social networks operate, especially when it comes to young users – as well as multibillion-dollar losses for tech companies.
The case in California
A jury in California found Meta and YouTube, which is owned by Google, liable on all counts in a historic case that alleged the tech giants intentionally created addiction in a young woman and damaged her mental health, reports CNN.
The jury found that Meta and YouTube knew the design of their platforms was dangerous, failed to warn of the risks, and caused substantial harm.
The jury deliberated for more than eight days after a seven-week trial in Los Angeles Superior Court. They ordered the companies to pay a total of three million dollars in damages.
The jury found that Meta bears 70 percent of the responsibility for the damage caused to the girl, and YouTube 30 percent.
Meta and YouTube said they plan to appeal the ruling. The companies have denied the allegations in the lawsuit and disputed the claim that their platforms can be addictive. They pointed to safety features they’ve introduced in recent years, such as parental controls, as well as content and privacy restrictions for teens, which they claim protect young users.
The case was the first of more than 1.500 similar lawsuits against social networks to reach court.
A $375 million case in New Mexico
Wednesday’s ruling comes a day after a New Mexico jury found Meta liable for violating the state’s consumer protection laws and failing to protect children from sexual predators.
A jury on Tuesday found Meta violated New Mexico state law in a case accusing it of failing to warn users of the dangers of its platforms and failing to protect children from sexual predators.
A jury found Meta liable on all counts, including knowingly engaging in “unfair and deceptive” and “unconscionable” business practices, and ordered the company to pay $375 million in damages.
For years, Meta has faced concerns from parents, whistleblowers, activists and lawmakers about the risks its platforms pose to children and teenagers. Tuesday’s ruling marks the first time the company has been found liable in a jury trial on those issues.
Stock drop
Shares in Meta Platforms fell 7 percent on Thursday after two rulings found it liable for harm caused to young users.
Although fines from legal proceedings in the US amount to only a few hundred million dollars, experts and investors believe that these rulings could open the door to a wave of new lawsuits that circumvent a federal law that has long protected online platforms from liability for user-generated content, writes Reuters.
Source: CNN/Reuters, Vreme
