The legal battle between Meta (formerly Facebook) and the Federal Trade Commission (FTC) over privacy concerns has taken a new turn.
In a recent ruling, the U.S. Court of Appeals for the District of Columbia Circuit has denied Meta’s request to delay the FTC from reopening an investigation into alleged privacy failures by its Facebook unit.
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- U.S. Court of Appeals denies Meta’s request to delay FTC’s privacy probe into Facebook.
- Meta failed to demonstrate a likelihood of success in challenging FTC’s authority.
- The ruling paves the way for the FTC to tighten the existing Facebook privacy settlement.
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Court Rules Meta Can’t Delay FTC Privacy Probe Into Facebook
The Ongoing Privacy Dispute
The FTC announced its intention to reopen an investigation into Facebook’s privacy practices last year, despite Meta having already paid a $5 billion fine and agreed to implement various safeguards.
The agency aims to tighten the 2020 Facebook privacy settlement, which could potentially ban the company from profiting from minors’ data and expand curbs on facial recognition technology.
Meta’s Legal Challenge
In response, Meta filed a lawsuit in November challenging the FTC’s authority to act as both an investigative and an adjudicative body.
The company argued that allowing the FTC’s action to proceed would violate its right to a trial by jury, among other claims.
The Court’s Ruling
The D.C. Circuit Court has recently issued an order concerning Meta.
The court has affirmed that Meta failed to meet the “heavy burden” required to secure an injunction pending appeal.
The court found that Meta could not demonstrate the likelihood of success in its challenge against the FTC’s authority.
This ruling is similar to a previous decision made by the same appeals court panel on March 12.
In that case, Meta’s request to pause the FTC’s probe was denied.
Ongoing Legal Battles
The privacy investigation is not Meta’s only legal battle with the FTC.
The agency has also filed an antitrust lawsuit against Meta, accusing the company of abusing its power in the social media market to crush or buy rivals.
This case could potentially force Meta to sell its Instagram and WhatsApp platforms.
Meta has denied all allegations made by the FTC in both the privacy and antitrust cases.
As the legal battles continue, the outcome will have significant implications for Meta’s business practices, particularly concerning user privacy and data handling.
The rulings will also shape the scope of the FTC’s authority in regulating tech giants like Meta.
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