Meta Challenges New Mexico $3.7B Teen Health Plan; Santa Clara Alleges $7B Scam Ad Profits

Meta contested New Mexico's $3.7 billion 15-year teen mental health fund demand on May 13 in the remedies phase of a trial following a March $375 million jury verdict for consumer protection violations, as the state also seeks age verification and algorithm changes amid judge overreach warnings. Separately, Santa Clara County's May 11 lawsuit alleges Meta earned up to $7 billion annually from fraudulent Facebook and Instagram scam ads, citing leaked documents, and seeks restitution, damages, and injunctions. This escalates from March 25 Los Angeles ($4.2 million addiction verdict, appealed May 6 via Section 230) and New Mexico cases, plus Meta's May 7 UK Ofcom challenge; shares fell 1.8% to $599.