Facebook faces $3.2 billion class action lawsuit in UK for market dominance


LONDON, Jan 14 (Reuters) – Social media giant Facebook (FB.O), now known as Meta Platforms, is facing a class action lawsuit worth more than 2.3 billion pounds ($3.2 billion). dollars) in Britain following allegations that it abused its market dominance by exploiting the personal data of 44 million users.

Liza Lovdahl Gormsen, a senior adviser to Britain’s Financial Conduct Authority (FCA) and an academic in competition law, said she was bringing the case on behalf of people in Britain who had used Facebook between 2015 and 2019.

The lawsuit, which will be heard by the Competition Appeal Tribunal in London, alleges that Facebook earned billions of pounds by imposing unfair terms and conditions that required consumers to hand over valuable personal data to gain access to the network.

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Quinn Emanuel Urquhart & Sullivan, the law firm representing Lovdahl Gormsen, notified Facebook of the complaint.

Facebook said people use its services because they bring value to them and “they have significant control over what information they share on Meta’s platforms and with whom.”

The case comes days after Facebook lost an attempt to overturn an antitrust lawsuit by the Federal Trade Commission (FTC), one of the US government’s biggest challenges against a tech company in decades so that Washington is trying to tackle the extended market power of Big Tech. Read more

“In the 17 years since its inception, Facebook has become the only social network in the UK where you can be sure to connect with friends and family in one place,” said Lovdahl Gornsen.

“Yet there was a dark side to Facebook; it abused its market dominance to impose unfair terms and conditions on ordinary Britons, giving it the power to exploit their personal data.”

Lovdahl Gormsen alleges that Facebook collected data within its platform and through mechanisms such as Facebook Pixel, which enabled it to create an “overall picture” of internet usage and generate insights. valuable and in-depth user data profiles.

Class action disengagements, such as those of Lovdahl Gormsen, automatically engage a defined group in a lawsuit unless individuals opt out.

($1 = 0.7277 pounds)

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Reporting by Kirstin Ridley Editing by Mark Potter

Our standards: The Thomson Reuters Trust Principles.


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