The US Federal Trade Commission (FTC) recently called upon a judge to dismiss a lawsuit instigated by Meta Platforms Inc. The legal battle was initiated by Meta in an attempt to impede the FTC’s ongoing efforts to amend a privacy settlement established in 2020. The FTC counters that Meta’s claim is underpinned by constitutional challenges that are not legally sustainable.
Meta’s legal move appears to be a direct response to recent efforts by the FTC to heighten its surveillance of companies engaged in monopolistic practices. To do so, the FTC has intended to amend previous orders when necessary, given alterations in circumstances or the requirements of public interest. The FTC is also making a concerted effort to block practices it deems as unfair and deceptive.
Since Lina Khan, the Chair of FTC, assumed office, the federal agency has adopted an increasingly aggressive stance towards mergers, particularly within the tech and pharmaceutical industries. The legal battle with Meta is the latest episode in this wider campaign, serving as a bellwether for FTC’s future moves.
For more details, follow the update on the case at Bloomberg Law.