
Meta Platforms is urging the Supreme Court to
intervene in a lawsuit brought by Vermont's attorney general, who claims the social platform violated a consumer protection by allegedly designing Instagram to addict young users.
In a petition made available this week, Meta argues that it isn't subject
to jurisdiction in Vermont because it has no physical presence or employees in that state, and because it isn't alleged to have designed Instagram to function differently in Vermont than in other
states.
"The complaint alleges that Meta violated Vermont law by 'designing' Instagram to be addictive, but there is no allegation that Meta 'designed' Instagram in Vermont or with features in
any way unique to or targeted at Vermont," Meta argues in its petition.
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Meta's petition comes in litigation dating to 2023, when Vermont sued the company for allegedly designing features that "cause teens to use Instagram compulsively and
excessively."
Dozens of other states made similar allegations in separate lawsuits against the company.
Meta is also facing multiple lawsuits in federal and state courts in California -- including by teens and their families.
The company sought an early dismissal
of the Vermont lawsuit, arguing that it lacked the kinds of ties to Vermont that would subject it to jurisdiction in the state.
Vermont's Supreme Court rejected that argument,
writing that Instagram has teen users in Vermont, and sells advertising to Vermont businesses that target users in the state.
"Meta has purposefully availed itself of the
Vermont social-media and advertising market," Justice Karen Russell Carroll wrote in a June ruling.
"Although the State’s complaint does not allege that any misrepresentation or omission about the safety of the application was specifically aimed at Vermont users, or made in
Vermont, Meta has created a Vermont market for its application and thus can fairly expect that the potential users of the application will rely on those representations in deciding whether to download
and use it," Carroll added.
Carroll added that Meta's business model "depends on advertising revenue," and creates an incentive for Meta to attempt to keep Vermont teens on
Instagram for as long as possible.
Meta is now asking the Supreme Court to review that ruling, essentially arguing that a national business model doesn't give every state
jurisdiction over the company.
"If a state court may exercise specific jurisdiction over a defendant based on its 'business model,' nearly every large national business ... is
at risk of being haled into the courts of all 50 states," Meta argues.
"Even if the damage is contained to the 'business model' purportedly at issue here -- Internet-based
companies that generate revenue by selling online advertising to third parties -- that business model has become ubiquitous and central to the modern economy," Meta adds.
Vermont on Tuesday waived its right to respond to Meta's petition.
The Supreme Court hasn't yet said when it will consider the tech company's request.