By SUNTV Global Channel
August 7, 2026
A New Mexico court has ordered Meta, the parent company of Facebook and Instagram, to pay $567 million into a fund dedicated to addressing the mental health harm its social media platforms caused to children.
The ruling follows a landmark lawsuit in which a jury found the technology giant liable for contributing to psychological harm among young users and failing to adequately protect them from online exploitation.
Judge Bryan Biedscheid directed that $420 million of the award be allocated to mental health treatment services for children and teenagers. The remaining funds will support prevention programmes, public awareness campaigns, mental health screenings and other child protection initiatives over the next five years.
In addition to the financial penalty, the court ordered Meta to introduce major safety reforms across Facebook and Instagram. These include stronger age verification measures, enhanced privacy protections for minors, educational safety notices and additional safeguards to reduce child sexual exploitation on the platforms.
The lawsuit, filed by the State of New Mexico, accused Meta of designing addictive social media products that negatively affected children’s mental health while failing to prevent predators from targeting minors. State attorneys argued that the company continued to profit despite being aware of the risks faced by young users.
In his ruling, Judge Biedscheid concluded that Meta’s platforms had become a public nuisance in New Mexico due to the harm caused to children and said the company must take meaningful steps to address those risks beyond paying financial damages.
Meta has rejected the court’s decision and announced plans to appeal the judgment.
“We disagree with the ruling and will appeal,” a company spokesperson said, adding that Meta has invested heavily in technologies and safety tools designed to protect young users from harmful content and online predators.
The latest judgment comes months after a New Mexico jury imposed $375 million in civil penalties against Meta for violating the state’s consumer protection laws by allegedly misleading users about the safety of its platforms and failing to adequately tackle child sexual exploitation.
Combined, the two rulings bring Meta’s total financial liability in the case to $942 million.
Legal analysts say the decision is expected to increase pressure on Meta as the company continues to face similar lawsuits across the United States over allegations that its social media platforms contribute to poor mental health outcomes among children and teenagers.
