Meta sued the Federal Trade Commission yesterday in a lawsuit that challenges the FTC’s authority to impose new privacy obligations on the social media firm.
The complaint stems from the FTC’s May 2023 allegation that Meta-owned Facebook violated a 2020 privacy settlement and the Children’s Online Privacy Protection Act. The FTC proposed changes to the 2020 privacy order that would, among other things, prohibit Facebook from monetizing data it collects from users under 18.
Meta’s lawsuit against the FTC challenges what it calls “the structurally unconstitutional authority exercised by the FTC through its Commissioners in an administrative reopening proceeding against Meta.” It was filed against the FTC, Chair Lina Khan, and other commissioners in US District Court for the District of Columbia. Meta is seeking a preliminary injunction to stop the FTC proceeding pending resolution of the lawsuit.
Meta argues that in the FTC’s administrative proceedings, “the Commission has a dual role as prosecutor and judge in violation of the Due Process Clause.” Meta asked the court to “declare that certain fundamental aspects of the Commission’s structure violate the US Constitution, and that these violations render unlawful the FTC Proceeding against Meta.”
Meta says it should have a right to a trial by jury and that “Congress unconstitutionally has delegated to the FTC the power to assign disputes to administrative adjudication rather than litigating them before an Article III court.” The FTC should not be allowed to “unilaterally modify the terms” of the 2020 settlement, Meta said.
The FTC action “would dictate how and when Meta can design its products,” the lawsuit said.
Hellbound and Down 