Meta has been found liable by a New Mexico jury for deceptive consumer practices, while TikTok agreed to a $100m settlement with Alabama over youth safety claims on September 26, 2026. The simultaneous legal developments mark major accountability actions against tech giants operating in the United States.
New Mexico Jury Finds Meta Liable for Cambridge Analytica Deception
A New Mexico state jury delivered a verdict against Meta on September 26, 2026, finding that the technology company violated 43 million state consumer protection laws. The trial centered on allegations that Facebook misled users following a massive data harvesting operation involving political consulting firm Cambridge Analytica.
The privacy breach harvested data from approximately 87 million user profiles through a third-party personality quiz. The defunct consulting firm utilized that data to assist Donald Trump’s 2016 presidential campaign and planned collaboration with a pro-Brexit group. Jurors concluded that the California-based company deceived the public regarding investigations into third parties harvesting user data after the scandal broke.
“The verdict marks a significant victory for New Mexico consumers and holds one of the world’s largest technology companies accountable for its conduct,” the state’s Department of Justice stated following the decision.
Jurors also determined that Facebook published deceptive statements regarding the protection of data for New Mexico’s entire population of more than two million residents. Meta criticized the outcome through a statement from spokesperson Alex Burgos, who told The Associated Press that the company disagrees with the verdict and will continue defending its record against distortion efforts.
TikTok Settles Alabama Lawsuit Over Youth Safety and Addiction Claims
On the same day as the Meta verdict, TikTok and its Chinese parent company, ByteDance, reached their first-ever settlement with a state attorney general’s office just days before a scheduled trial in Alabama. Attorney General Steve Marshall filed the lawsuit last year, accusing the short-form video platform of intentionally engineering an addictive algorithm that pushed violent content to young users.
Alabama’s complaint alleged that the platform’s mechanics caused a teen mental health crisis and drove emergency room visits to surge. The state further accused TikTok of falsely advertising that it limits inappropriate content access to secure a teen-friendly app store rating, alongside misleading the public about Chinese government access to United States user data.
Under the terms of the agreement, Alabama will receive a minimum of $100m within 45 days, with total payouts potentially reaching $300m if specific conditions are met. TikTok also agreed to enforce a daily two-hour time limit, institute a pause mechanism after 15 minutes of continuous use, and enhance age verification protocols.
Regulatory Pressure Mounts Across State and Federal Jurisdictions
The dual legal outcomes highlight a broader wave of regulatory scrutiny facing major social media platforms across the United States. New Mexico stands as the sole state to litigate a privacy case stemming from the Cambridge Analytica breach, as a previous $18bn child safety settlement in August and a wider 130-page agreement shielded Meta from other liabilities tied to that specific scandal.
Conversely, TikTok continues to face coordinated legal pressure from at least 27 other states and Washington, DC, regarding youth safety and addiction. The platform previously settled with the United States Department of Justice for $400m over allegations that it violated federal children’s privacy laws.
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