Meta Faces Legal Challenge Over Alleged Privacy Violations

Meta Platforms is undergoing a significant legal trial, with shareholders accusing top executives of failing to provide adequate oversight concerning privacy practices. This $8 billion non-jury trial, initiated after the Cambridge Analytica data breach revelations, puts a spotlight on their alleged negligence.

The lawsuit, a rare Caremark claim brought against directors, accuses Meta's leadership, including founder Mark Zuckerberg and former COO Sheryl Sandberg, of running the company as an unlawful data operation. The trial is significant, being the first of its kind to come to court, highlighting the challenges posed by Caremark claims under Delaware law.

While former director Jeffrey Zients testified that the board's focus was on company growth rather than protecting Zuckerberg personally, further testimonies are expected to delve deeper into the issue. Venture capitalist Marc Andreessen and other former directors are set to testify amidst this contentious litigation.

(With inputs from agencies.)