Full Breakdown
New Mexico Seeks $35-$40 Billion Penalty from Meta After Jury Finds Massive Consumer-Protection Violations
By Drooid · · How we work
Core Event
A New Mexico state court hearing on October 1, 2026 featured Attorney General Randi McGinn asking Judge Francis Mathew to order Meta Platforms, Inc. to pay $35 billion to $40 billion in civil penalties. The request follows a September 25, 2026 jury verdict that found Meta’s Facebook platform violated the state’s Unfair Practices Act 43.9 million times by making false or misleading statements about data privacy, hate-speech policies, and misinformation controls.
Background & Context
The lawsuit, filed in 2021 by Attorney General Raúl Torrez (D), built on the fallout from the Cambridge Analytica scandal, in which a British consulting firm harvested data from up to 87 million Facebook users to aid Donald Trump’s 2016 campaign.
Data & Statistics
- Violations: 43,899,725 (per New Mexico Department of Justice) – roughly 44 million violations of the Unfair Practices Act.
- Statutory maximum: $5,000 per violation, yielding a theoretical ceiling of $219 billion.
- Prior settlements: $5 billion Federal Trade Commission (FTC) settlement (2019), $725 million consumer-class settlement (2022), $459 million portion of an $18 billion multi-state settlement (2024), and a $942 million judgment for teen-mental-health claims earlier in 2026.
Criticism & Opposition
The company also maintained that it does not sell user data and that the state failed to prove any consumer was actually misled or harmed by the alleged statements.
Conflicting Reports & Gaps
- Violation count: Sources differ slightly, reporting “nearly 44 million,” “43.9 million,” and “43 million” violations.
- Maximum award: While the statutory ceiling is $219 billion, McGinn’s request caps the penalty at $40 billion, citing due-process concerns. The state’s earlier public statements suggested a push for the full $219 billion, creating a discrepancy between the attorney general’s public goal and the filing.
- The factual basis for actual consumer harm remains unsettled.
Verbatim Quotes
- “This court should speak to Meta in the only language it understands, which is money, and the value of its stock price,” — Randi McGinn, new mexico’s attorney
- “The world is watching this one,” — Randi McGinn, new mexico’s attorney
- “Well, when the parties go to trial, they roll the dice,” — Francis Mathew, mcginn asked judge
- “When they go to trial, they role the dice,” — Francis Mathew, mcginn asked judge
What's Next
Judge Mathew has indicated a decision will be issued within the next three weeks. Both parties are expected to submit additional briefing on the appropriate penalty amount and on constitutional arguments. The outcome could set a precedent for state-level consumer-protection enforcement against major technology firms.