Supreme Court Allows Multibillion-Dollar Class Action Suit Against Meta
It is one of two high court cases involving tech companies
By: : Nilima Pathak
Update: 2024-11-22 17:45 GMT
Supreme Court Allows Multibillion-Dollar Class Action Suit Against Meta
It is one of two high court cases involving tech companies
The Supreme Court has allowed a multibillion-dollar class action lawsuit against Meta (the parent company of Facebook).
Investors alleged that the company failed to disclose the risks of user data misuse by Cambridge Analytica, a political consulting firm that supported Donald Trump during the 2016 US Presidential election.
While the judges recently heard the arguments in Meta's bid to shut down the lawsuit, they felt it was wrong to take up the case.
Thus, the high court dismissed the company's appeal, leaving it to the appellate court to rule on the matter.
Meta has already paid a $5.1 billion fine and reached a $725 million privacy settlement with users.
Cambridge Analytica, which has ties to Trump’s political strategist Steve Bannon, had paid a Facebook app developer for access to the information of about 87 million Facebook users. The data was used to target voters during the campaign.