SCOTUS Takes the CASE – It’s Happening!

Social media giant Facebook is currently lying in wait as the US Supreme Court weighs an ongoing case regarding the platform’s use of customer data.

On June 10, SCOTUS justices agreed to hear the case after a considerable number of shareholders claimed Facebook’s parent company, Meta Platforms Inc., deceived them about the fallout from its data harvesting practices and its partnership with the notorious Cambridge Analytica.

Let’s cut to the chase: Facebook’s shady dealings with Cambridge Analytica are back in the spotlight. The platform’s data handling missteps have led to a legal firestorm, with shareholders alleging that Meta misled them about the repercussions of its data practices.

The Supreme Court filing references a class action lawsuit stemming from a private securities fraud case. Facebook blames Cambridge Analytica for the “wrongful acquisition and misuse of Facebook user data” before the firm went belly up. The Court’s task is to decide whether the investor lawsuit should proceed or be dismissed.

The lawsuit claims that Facebook handed over the personal information of 87 million users to third parties without their knowledge. For those keeping score, this is the same Facebook that agreed to a whopping $725 million settlement in 2022, four years after the scandal broke. And as if that wasn’t enough, the lawsuit also alleges that Meta illegally inflated the price of its stock shares.

This massive settlement came three years after Facebook paid $100 million to the Securities and Exchange Commission (SEC) for allegedly misleading investors about the use and distribution of their data. But that’s not the end of it. Facebook also shelled out $5 billion to the Federal Trade Commission (FTC) to wrap up its investigation into the company’s policies. Let’s not forget CEO Mark Zuckerberg’s grilling before Congress over the incident.

It’s clear that Facebook’s past is catching up with it, and the Supreme Court’s decision could have far-reaching implications.

Meanwhile, Meta is also facing scrutiny from the European Union over concerns that its Facebook and Instagram platforms might have violated child safety laws. European officials accuse Meta of failing to adequately protect children who use its platforms. This follows a set of stringent government mandates over internet use that passed in 2023, aimed at “cleaning up” digital platforms while protecting personal information.

Facebook’s troubles are far from over. With SCOTUS expected to hear arguments in the highly publicized Facebook v. Amalgamated Bank case in its next term, the stakes couldn’t be higher.

As the Supreme Court prepares to weigh in on this pivotal case, it’s a stark reminder of the tech giant’s controversial past and the ongoing battle over privacy and data security. The outcome will not only impact Meta’s future but also set a precedent for how tech companies handle user data and transparency with investors.

Stay tuned, America. The fight for accountability in Big Tech is just heating up, and Facebook is squarely in the crosshairs.