New Mexico jury finds Facebook liable for deceiving users about privacy protections
—Associated Press
A New Mexico jury on Friday found Facebook liable for deceiving users about privacy protections on the platform in the latest legal setback against the social media giant that has already cost it billions of dollars.
The jury found over 43 million violations of state consumer protection law and it is now up to the judge to determine how much the company would pay, with attorneys representing the state asking for the maximum $5,000 penalty per violation.
“The verdict marks a significant victory for New Mexico consumers and holds one of the world’s largest technology companies accountable for its conduct,” the New Mexico Department of Justice said in a statement.
The two-week trial in Santa Fe centered on accusations that Facebook, owned by Meta, deceived users about a data breach stemming from a third-party personality quiz that harvested data from roughly 87 million profiles and sold it to a political consulting firm, Cambridge Analytica, to generate targeted ads. The now-defunct firm’s clients included the 2016 campaign for Donald Trump.
Jurors sided with prosecutors, finding Facebook made deceptive statements about protecting users’ data that affected New Mexico’s entire population of more than two million people. The jury also found Facebook misled the public about investigations into third-party app developers that harvest user data following the Cambridge Analytica scandal.
“We disagree with the verdict and will continue to defend ourselves against efforts to distort our record,” said Alex Burgos, a spokesperson for Meta in an email.
During closing arguments, lawyers for Facebook claimed the state’s evidence was outdated and that despite having five years to gather material, New Mexico found only one other instance of a data breach.
In one of the few wins for the defense, jurors found the state didn’t prove that Facebook made false claims about removing harmful content, including misinformation about the COVID-19 pandemic.
The state claimed the company favored certain accounts and allowed for violent or inaccurate content to proliferate. During closing arguments, Randi McGinn, an attorney representing the state, argued that Facebook profited off harmful content.
Facebook denied the claims, arguing the company has adapted its policies since the state's lawsuit was filed in 2021 and that it removes 99% of content that violates standards. In a deposition played for jurors, CEO Mark Zuckerberg said the company had robust systems to determine whether content should be taken down.
“Meta’s platforms are forums for free expression. We have a First Amendment right to manage those platforms in a way we believe best serves the interests of our community. This means prioritizing free speech, protecting our users’ information and giving them control over their data,” Burgos said in a statement after the verdict.
Despite jurors finding millions of violations, it's unclear how much of an impact the case will have on the company's bottom line, given how profitable Meta is.
"It's unlikely that this is going to be the case that effectively penalizes the company in a meaningful way," said Peter Ormerod, an associate professor of law at Villanova University.
Ormerod said the social media company has very high margins and previously skirted regulatory actions on its platforms.
If the state successfully persuades the judge to award the maximum civil penalties for every violation, the company could owe over $200 billion, with interest accruing if it decides to appeal. The judge will have to weigh complex arguments from both sides about what penalties are fair. In a previous case, New Mexico secured $942 million over the platform’s policies to protect minors.
Ormerod commended the state’s “dogged prosecution” of the social media giant, but isn’t sure the judgment will be significant enough to change Meta’s ways.
“There’s been a lot of criticism that none of these amounts of money are enough to discipline the company,” Ormerod said.
The judge will decide on penalties during a hearing on Oct. 1. Attorney General Raúl Torrez told reporters following the verdict that all money awarded will go into a fund for the state's education system. The state is also seeking an injunction to stop similar practices in the future.
Friday's verdict follows several others against Meta recently.
In August, Meta agreed to pay up to $18 billion to settle a multistate lawsuit involving child safety issues. Buried in the 130-page settlement was an agreement to release Meta from future liability related to the Cambridge Analytica privacy breach, making New Mexico the only state to decide to pursue a case on its own. Florida was the only other state that did not sign the settlement, saying it was not tough enough on Meta, leaving the door open for future litigation.
Also this year, New Mexico won judgments totaling $942 million from Meta in a two-phase trial about the company’s safety protections for minors. The court ordered Meta to implement new safeguards, including age-verification technology and time limits on its platforms.
Haaland ends talks for governor debate
James Bennett, Albuquerque Journal
Democrat Deb Haaland has closed the window on debating Republican Gregg Hull before the Nov. 3 election for New Mexico’s next governor.
The campaigns were unable to agree on a date, with Haaland saying Thursday night that she is ending negotiations.
Haaland’s campaign proposed a debate at the Journal or one of its media partners on Oct. 12, 13 or 14 and gave Hull’s campaign 48 hours to agree to one of those dates.
“Since July, our campaign has held eight different dates for a debate,” Haaland campaign manager Dylan McArthur wrote in an email to Hull’s campaign and the Journal.
You can find the complete story at the Albuquerque Journal.
UNM is first known public target of rogue OpenAI hacking attempt - Natalie Robbins, Albuquerque Journal
An artificial intelligence system at OpenAI, the company operating the chatbot ChatGPT, went rogue in at least four instances this year and attempted to hack into government and university websites across the world, including a digital library at the University of New Mexico.
In all four incidents, which took place from May through July, users directed the AI simply to collect data. When it failed to do so through normal means, the technology attempted to hack into the websites, according to research labTransluce, which identified the cyberattacks.
UNM’s website was the first public data provider identified to have suffered an attempted hacking by OpenAI’s technology on May 25 and 26. The AI system tried repeatedly through multiple means to retrieve a photograph from UNM’s Valmora collection, which contains records from a tuberculosis sanatorium in Mora County, according to Transluce.
The technology probed the website for vulnerabilities, tried to disguise traffic through proxy services, and sent a flood of 80 requests to the server, hoping to bypass security controls, though the attempts all appear to have been unsuccessful.
For more information on this story, visit the Albuquerque Journal website.
UNM, NMSU to resume Rio Grande Rivalry Saturday
—Mark Haslett, KUNM
The New Mexico Lobos and the New Mexico State Aggies will meet on the football field for the 116th time tomorrow afternoon in Las Cruces. UNM is an 11-1/2-point favorite as of this report. But Lobos head coach Jason Eck says he expects the Aggies to bring their best game on Saturday.
“We got to be ready to go,” Eck said. “This is an improved football team at New Mexico State. I think I learned something about the rivalry game last year. I thought they played better live than they did on film. Which tells me they were very focused and fired up for that game.”
New Mexico State returns to Aggie Memorial Stadium with a record of 1-2 after a defeat last week at Hawaii. The Lobos have a 2-1 mark. UNM suffered its first loss of the season last Saturday on the road against nationally-ranked Oklahoma. Tomorrow’s game will feature New Mexico’s highly-regarded defense against New Mexico State’s explosive passing attack, currently averaging two receiving touchdowns per game.
And once again, the winner of the Rio Grande Rivalry will be the proud steward of the Chile Roaster trophy, which goes to the annual winner. The Chile Roaster is currently in the custody of the Lobos, who won last year’s game in Albuquerque, 38-20. Kickoff tomorrow is at 1:30.
Former state lawmaker federally charged in housing fund embezzlement scheme - Nakayla McClelland, Albuquerque Journal
A former New Mexico lawmaker and her sister face federal charges after being accused of running a scheme to embezzle hundreds of thousands of dollars from a tribal housing entity.
Sandra Jeff, 58, and Sharilene Jeff, 51, are charged with conspiracy and aiding and abetting theft from a program that receives federal funds. Sharilene Jeff faces four additional counts of theft.
The two were indicted by a federal grand jury in late August. If convicted, they face up to 10 years in federal prison.
Sharilene Jeff is detained as she awaits trial and Sanda Jeff is on release but remains under federal supervision. Their attorney was not available for comment.
As a Democrat, Sandra Jeff represented District 5 — which includes San Juan and McKinley counties — in the New Mexico House of Representatives from 2009 through 2014.
For more information on this story, visit the Albuquerque Journal website.
Oracle invokes ‘force majeure’ on Project Jupiter, but says data center still on track - Justin Horwath, Albuquerque Journal
Oracle Corp., the technology company set to be the largest tenant of the Project Jupiter data center in Doña Ana County, has sent the center’s developer a “force majeure” notice.
Force majeure means “superior force” in French. In English legal terms, it’s a contractual provision a party may invoke to avoid contractual obligations because of unforeseen or unusual circumstances.
The Albuquerque Journal reports Oracle sent a force majeure notice to Stack Infrastructure, the developer of Project Jupiter.
Oracle executives have pointed to a challenging regulatory environment in New Mexico as Project Jupiter has become one of the top news stories — and a national flashpoint for pushback against data centers.
You can find more information at the Albuquerque Journal.
New Mexico education officials propose new $5.9B budget with 2.9% increase - Matthew Mondschein, Source New Mexico
The New Mexico Public Education Department on Thursday laid out spending plans for a proposed $5.9 billion budget for the Fiscal Year 2028 budget, a 2.9% increase over FY27.
In a joint presentation to the interim Legislative Finance and Education Study committees, PED officials detailed budget priorities, which include building onimprovements with literacy rates and chronic absenteeism, and continuing to work to address lower-performing schools.
Specifically, the proposed budget includes $15.5 million for literacy and reading support; $16.6 million for literacy coaches; and $29 million for reading and mathematics intervention, among other items.
In a statement issued Thursday, PED Secretary Mariana Padilla said the proposed budget “will help schools build” on the gains that have been made, while also addressing critical needs in mathematics, student engagement and educator recruitment. “These investments focus resources where they can make the greatest difference for students and give educators the support they need to succeed,” she said.
Another priority for PED in the proposed budget was student attendance and engagement — $35 million for career technical education; $10 million for summer internships; $60 million over three years for afterschool programs.
Padilla said that the department received a grant from the U.S. Department of Education that it plans to use for “career connected” education in middle schools throughout the state. She also highlighted summer programs served with the funding.
“Students build their job skills, their life skills, and are able to really develop some strong mentorship opportunities,” Padilla said.
PED requested, in the wake of the landmarkYazzie/Martinez case, $30 million for Indian education, $1.7 million for bilingual multicultural education, $1.5 million for Hispanic Education and $500,000 for Black Education.
Rep. Derrick Lente (D-Sandia Pueblo) acknowledged the funding priority, reminding the Legislature that before 2019, the Indian Education budget was $2 million. Student groups identified in the case saw the largest literacy and mathematics proficiency gains in grades three to eight from 2022 to 2026, according toPED statistics.
“We are not fighting over crumbs anymore,” Lente said. “We are seeing the capacity being built at a number of our pueblos, nations, and tribes — and seeing real results at this point.”
State officials, child welfare plaintiffs strike deal reaching into next governor's term - Santa Fe New Mexican
In a few short months, New Mexico will have a new governor — and with it, a new team leading its child welfare system.
The Santa Fe New Mexican reports that in preparation for a new administration, the state and plaintiffs of the Kevin S. lawsuit on Wednesday agreed to a new plan that will span 2027 and reach into 2028.
Wednesday’s agreement marks the fourth remedial order in the arbitration of the Kevin S. lawsuit, which was originally filed in 2018 by more than a dozen foster children and ultimately yielded a settlement agreement requiring reform of the state’s foster care system.
The deal establishes new targets for recruiting foster families and easing the heavy workloads of front-line caseworkers and works to improve the experiences and services provided to children in the state’s care.
Plaintiffs in the case, who have long pushed the state to make good on its commitments in the Kevin S. settlement agreement, acknowledged the state has made progress but said it still had a long way to go. They said the new deal would help ensure continuity when a new governor takes over.
