Meta settles first US school district lawsuit over youth mental health costs

By: Courtney Rozen and Dietrich Knauth Source: Reuters

Overview

Meta Platforms on Thursday settled the first case set for trial that sought to hold social media companies accountable for costs school districts say they have incurred to address a youth mental health crisis allegedly fueled by the platforms.

The agreement fully resolves a lawsuit brought by the Breathitt County School District in eastern Kentucky. Co-defendants Alphabet's YouTube, Snap, and TikTok had previously reached settlements. The case had been scheduled for a June 15 trial in federal court in Oakland, California.

Bellwether Case

Breathitt is among approximately 1,200 school districts pursuing similar claims. Its case was selected as a bellwether, or test case, for those lawsuits.

"We've resolved this case amicably and remain focused on our longstanding work to build protections like Teen Accounts that help teens stay safe online, while giving parents simple controls to support their families," said a Meta spokesperson.

In a statement, the plaintiff's attorneys said they had resolved Breathitt's claims against Meta, adding that "our focus remains on pursuing justice for the remaining 1,200 school districts who have filed cases."

Lawsuit Sought Over $60 Million

Breathitt, a small rural district in Appalachia, accused the companies of designing their platforms to keep young users hooked, driving anxiety, depression, and self-harm among students, and leaving schools to deal with the consequences.

The lawsuit sought:

• Over $60 million to cover the costs of counteracting the impact of social media on students' mental health
• Funding for a 15-year mental health program to abate the problem
• A court order requiring the companies to modify their platforms to reduce addictive features

Broader Litigation Context

• More than 3,300 lawsuits alleging addiction-related harms are pending in California state court against social media companies.
• Another 2,400 cases — including those brought by school districts, individuals, municipalities, and states — have been centralized in California federal court.

The companies have denied the allegations and say they take extensive steps to keep teens and young users safe on their platforms.

Landmark Trial Precedent

In a landmark trial, a Los Angeles jury on March 25 found Meta and Alphabet's Google negligent for designing social media platforms that are harmful to young people. The jury awarded a combined $6 million to a 20-year-old woman who said she became addicted to social media as a child.

Significance

Breathitt's case had been closely watched as an early test of the school districts' claims in the sprawling litigation. Judges and attorneys often use bellwether verdicts to assess the potential value of remaining claims and guide settlement talks.

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