Texas Attorney General Ken Paxton has announced a landmark $1.4 billion settlement with Meta, Facebook’s parent company, over the unauthorized collection and use of personal data.
The agreement marks the largest settlement ever achieved through legal action by a single state, surpassing previous records pertaining to data privacy litigation.
The settlement resolves allegations that Meta unlawfully gathered “biometric” personal data from millions of Texans without proper consent, a practice that violated Texas’ Capture or Use of Biometric Identifier Act (CUBI) and the Deceptive Trade Practices Act, according to a press release from Paxton’s office.
The agreement, which will have Meta pay Texas $1.4 billion over the next five years, is a colossal win for online privacy advocates and sets a precedent for holding major technology companies accountable for the mishandling of users’ personal information.
“This historic settlement demonstrates our commitment to standing up to the world’s biggest technology companies and holding them accountable for breaking the law and violating Texans’ privacy rights. Any abuse of Texans’ sensitive data will be met with the full force of the law,” said Paxton.
The case began in February 2022 when Paxton sued Meta for its use of facial recognition technology. The company deployed the technology in 2011 through a feature initially called Tag Suggestions, as reported by The Dallas Express.
The tool, designed to facilitate photo tagging, was automatically enabled for Texans without their explicit consent. For over a decade, Meta’s facial recognition software processed virtually every face in photos uploaded to its platform, collecting detailed data without informing users.
Meta’s actions were in direct violation of CUBI, which requires companies to obtain consent before capturing biometric identifiers such as facial recognition data, according to Paxton’s office.
Paxton has been active in exercising his powers on behalf of Texans, suing multiple pornography companies in March, for instance, for their lack of adherence to HB 1181, a state law aimed at blocking minors from accessing pornographic content online.
Earlier this month, Paxton also initiated legal action against the Biden administration over a federal regulation allowing teenagers to access contraception without parental consent, as previously reported by The Dallas Express.
The recent lawsuit against the Biden administration targets a rule established by the U.S. Department of Health and Human Services under Secretary Xavier Becerra. Paxton argues that this regulation clashes with Texas state laws that mandate parental consent for minors obtaining contraceptives, according to a press release.