Meta settles $8 billion lawsuit with investors and Zuckerberg on 2nd day of trial

Mark Zuckerberg and current and former directors and officers of Meta Platforms have agreed to settle claims seeking $8 billion for alleged damage caused by repeated violations of Facebook users' privacy, as per a lawyer for the shareholders at a Delaware court.

No details of the settlement were disclosed, and defence lawyers did not address the judge, Kathaleen McCormick of the Delaware Court of Chancery. The trial was adjourned, and the parties were congratulated.

The plaintiffs' lawyer, Sam Closic, mentioned that the agreement was reached swiftly.

Billionaire venture capitalist Marc Andreessen, a defendant in the trial and a Meta director, was set to testify.

Shareholders sued Zuckerberg, Andreessen, and other former company officials over fines and legal costs related to the Cambridge Analytica scandal. They wanted the defendants to reimburse the company using their personal wealth.

The defendants denied the allegations, calling them 'extreme claims.'

Meta declined to comment, and a lawyer for the defendants did not respond immediately.

Jason Kint, head of Digital Content Next, stated that the settlement may provide relief but misses an opportunity for public accountability.

The trial was expected to include testimony from Zuckerberg, Sandberg, and other former board members.

Investors alleged that board members failed to oversee the company's compliance with the 2012 FTC agreement and accused Zuckerberg and Sandberg of running an illegal data-harvesting operation.

Revelations in 2018 about data misuse by Cambridge Analytica led to the FTC fine.

An expert witness testified about gaps in Facebook's privacy policies but did not confirm if the company violated the 2012 agreement.

The trial would have allowed investors to question Zuckerberg under oath.

According to the source: CBC.