In a significant legal development, the Information Media Association, representing over 80 Spanish newspapers, has filed a lawsuit against Meta, the parent company of Facebook, accusing it of unfair competition in online advertising. The association is seeking €550 million ($600 million) in damages, alleging that Meta has systematically and massively violated European Union (EU) rules on data protection.
The lawsuit covers the period from May 2018, when the EU data protection regulations came into effect, to July 2023. The Information Media Association claims that Meta, through its Facebook and Instagram platforms, repeatedly neglected the requirement for users to provide explicit consent for the use of their data in advertising profiling.
Meta’s reliance on behavioral advertising, which involves tracking individual online activities to create user profiles for targeted advertising, has faced increasing scrutiny and legal challenges. In July, the EU’s top court ruled that Meta could not compel users in the 27-nation bloc to agree to personalized ads without freely given consent. Meta responded by offering ad-free versions of its platforms for European users at a monthly fee.
The Spanish association argues that Meta’s utilization of personal data without consent gave the company an “illegitimately obtained competitive advantage,” posing a threat to the livelihood of Spanish media. It has called on advertisers in both the public and private sectors to support “safe, reliable, and responsible media” that respect citizens’ rights and promote democratic values.
Meta has yet to respond to the lawsuit, stating that it has not seen the legal papers. The case has been filed at Madrid’s mercantile courts, marking a pivotal moment in the ongoing debate over the ethical use of personal data by tech giants and their impact on traditional media markets.
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Written by: Astha Dubey, Lloyd Law College, a first year legal journalism intern at Legal Vidhiya.
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