Group 1 - Meta executives, including Mark Zuckerberg, have settled a lawsuit from shareholders seeking $8 billion for damages related to privacy violations during the Cambridge Analytica scandal [1] - The lawsuit alleged that executives intentionally violated a Federal Trade Commission (FTC) agreement by sharing user data without consent, leading to a $5 billion fine in 2019 for non-compliance with a 2012 agreement [2] - The trial was anticipated to include testimonies from notable figures such as Zuckerberg, former COO Sheryl Sandberg, and other prominent executives [3]

Mark Zuckerberg and Meta executives agreed to settle a lawsuit brought by unhappy shareholders over how they handled a user privacy scandal, according to multiple reports. The lawsuit, which sought $8 billion in damages, alleged that executives — including CEO Mark Zuckerberg and former COO Sheryl Sandberg — "intentionally" failed to comply with a consent order from a federal regulator, leading the company to pay billions of dollars in fines.In the lawsuit, shareholders demanded that the company and its ex ...

Core Viewpoint - Meta's CEO Mark Zuckerberg is facing a high-stakes trial regarding the company's $8 billion expenditure to settle privacy violation lawsuits, with shareholders seeking to hold him and other executives accountable for alleged fiduciary duty violations [1][2][15]. Group 1: Lawsuit Details - The lawsuit is a shareholder derivative action, allowing investors to sue executives on behalf of the company for failing in their fiduciary duties [4]. - Shareholders claim that Zuckerberg, former COO Sheryl Sandberg, and former VP Konstantinos Papamiltiadis intentionally failed to comply with a 2012 Federal Trade Commission (FTC) consent order aimed at protecting user privacy [2][12]. - The Cambridge Analytica scandal, where data from up to 87 million Facebook users was improperly harvested, is cited as a significant failure that resulted from this negligence [3][13]. Group 2: Regulatory Scrutiny - Meta is under regulatory scrutiny for allegedly abusing its monopolistic power, which has raised concerns about its competitive practices in the marketplace [5]. - The case will further investigate Meta's handling of user privacy and decision-making leading up to the Cambridge Analytica breach [7]. Group 3: Witnesses and Testimonies - The trial will involve testimonies from notable figures, including Netflix co-founder Reed Hastings and venture capitalist Marc Andreessen, among others [8][7]. - Shareholders argue that the defendants ignored multiple "red flags" prior to the Cambridge Analytica scandal, indicating a lack of action on their part [8]. Group 4: Financial Implications - The lawsuit highlights Meta's 2019 settlement with the FTC for $5 billion, which shareholders argue was approved despite evidence of noncompliance with the consent order [9][12]. - The total amount spent by Meta to resolve claims related to user data safeguarding is reported to be over $8 billion [15].