Case Background:
This is a federal securities fraud class action lawsuit on behalf of those who purchased or otherwise acquired Meta Platforms, Inc. (“Meta”) (NASDAQ: META) f/k/a Facebook, Inc. (“Facebook”) (NASDAQ: FB) Class A common stock between April 27, 2021 and October 21, 2021, inclusive (the “Class Period”).
Meta is the world’s largest social media company, and owns and operates the Facebook and Instagram platforms. Meta derives nearly all of its revenue from advertising, which depends on user engagement.
The complaint alleges that, throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (1) Meta secretly designed mechanisms that would allow millions of high-profile users to violate Community Standards and content-moderation policies despite touting that all users were subject to the same rules; (2) the changes to the News Feed Algorithm caused misinformation and harmful content to proliferate across its platforms; (3) even knowing this, Defendants refused to address the issues due to a risk of harming engagement metrics; (4) Meta hid its own internal research that determined that its platform Instagram had serious negative effects on young users’ mental health; (5) Meta overstated its user base growth rates by underreporting the number of duplicate new accounts; and (6) as a result of the foregoing, Defendants’ statements about the company’s business, operations, and prospects were materially false and/or misleading and/or lacked a reasonable basis at all relevant times.
Current Status of Case:
On December 12, 2025, Lead Plaintiffs filed the Motion for Class Certification. This action is in the discovery phase and is ongoing.
If you wish to discuss this action or have any questions, please contact Kessler Topaz Meltzer & Check, LLP: Jon Naji, Esq. (484) 270-1453; toll-free at (844) 887-9500; or via e-mail at info@ktmc.com. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.