Meta has also agreed to make changes for teenage users of Facebook and Instagram nationwide, including daily usage limits and nighttime blocks, according to court papers. Meta has denied any wrongdoing in agreeing to the settlement.
The claims are part of a broader wave of litigation brought by local governments, school districts and individuals, alleging that Meta and other social media companies have contributed to a nationwide mental health crisis among young people.
Meta Faces Thousands of Other Lawsuits
Meta, Snap, Alphabet and ByteDance continue to face thousands of lawsuits in federal and state courts over allegations that they knowingly designed social media platforms with addictive features that harmed children and teenagers and contributed to a mental health crisis.
The federal cases have been consolidated before US District Judge Yvonne Gonzalez Rogers in Oakland and include lawsuits filed by individuals, school districts and state governments. Thousands of additional cases remain pending in state courts, including lawsuits overseen by a Los Angeles judge involving people who say they or their loved ones were harmed by the platforms.
Around 30 states have also sued the companies in state courts. A trial in Nashville has been underway since July over claims brought by the state against Meta.
The latest settlement follows several legal setbacks for Meta. In March, the company was ordered to pay $375 million after a New Mexico jury found that it had misled consumers about the safety of its platforms. On August 6, a judge found Meta had created a public nuisance and ordered it to pay an additional $567 million and implement measures aimed at protecting young users.
Separately, Meta, Snap, Alphabet and ByteDance settled the first federal case to go to trial, brought by a Kentucky school district that alleged the platforms had harmed its students. Breathitt County School District was set to receive a combined $27 million, according to public records.