Meta and Mark Zuckerberg have hit back at a group of US state attorneys general who are seeking up to $1.4 trillion in damages in a federal lawsuit alleging the company misled consumers over its data practices. In a court filing this week, Meta's lawyers dismissed the figure as "untethered from reality" and without precedent, asking the judge to throw out most of the demands ahead of a trial due to begin in Oakland next month. The clash matters because the sum sought is close to Meta's entire valuation of just over $1.5 trillion, and the case is one of thousands testing how far social media firms can be held liable for their platforms' effects.

The suit, brought by California, Colorado, Kentucky and New Jersey, accuses Meta of "unfair or unconscionable trade practices". Meta's team argues the damages figure was manufactured by "mixing and matching" data and counting individuals multiple times, and that no defendant has ever been ordered to pay anything close. More broadly, 29 states allege Meta, Snap and TikTok breached the Children's Online Privacy Protection Act. Meta maintains its products are safe and that responsibility for underage use lies with parents. California's Rob Bonta says the firm prioritised profits over children's safety. Meta shares fell 2% on Wednesday to $603.12, down nearly 9% in 2026.