Facebook Asks UK Tribunal to Block $3.7 Billion Mass Action Lawsuit Over Market Dominance

The lawsuit claims users should get compensation for the economic value they would have received if Facebook was not in a dominant market position.

Advertisement
By Reuters | Updated: 31 January 2023 13:04 IST
Highlights
  • Meta’s data practices are said to violate prohibition on dominant firms
  • Meta said the lawsuit was entirely without merit
  • Its facing a mass action on behalf of around 45 million users in Britain

Meta's lawyers said the claimed losses ignore the “economic value” Facebook provides

Photo Credit: Reuters

Facebook on Monday asked a London tribunal to block a collective lawsuit valued at up to GBP 3 billion (roughly Rs. 30,300 crore) over allegations the social media giant abused its dominant position to monetise users' personal data.

Meta, the parent company of the Facebook group, is facing a mass action brought on behalf of around 45 million Facebook users in Britain.

Legal academic Liza Lovdahl Gormsen, who is bringing the case, said Facebook users were not properly compensated for the value of personal data that they had to provide to use the platform.

Advertisement

Her lawyers said users should get compensation for the economic value they would have received if Facebook was not in a dominant position in the market for social networks.

But Meta said the lawsuit was “entirely without merit” and should not be allowed to proceed. Its lawyers said the claimed losses ignore the “economic value” Facebook provides.

Lovdahl Gormsen's lawyers on Monday asked the Competition Appeal Tribunal to certify the case under the UK's collective proceedings regime – which is roughly equivalent to the class action regime in the United States.

Advertisement

A decision to certify collective proceedings will depend on whether the tribunal decides that the individual cases can appropriately be dealt with together, rather than on their merits.

Ronit Kreisberger, representing Lovdahl Gormsen, told the tribunal that “Meta's data practices violate the prohibition on abusive conduct by dominant firms”.

Advertisement

“There is unquestionably a case for Meta to answer at trial,” Kreisberger argued.

But lawyers representing Meta said the lawsuit wrongly assumes that any “excess profits” it might make equates to a financial loss suffered by individual Facebook users.

Advertisement

This approach “takes no account whatsoever of the significant economic value of the service provided by Facebook”, Marie Demetriou said in court documents.

She said Lovdahl Gormsen's estimate of potential claimants' total losses – GBP 3 billion, including interest – is “at the very least wildly inflated”.

© Thomson Reuters 2023


The Infinix Zero Ultra has a decent set of specifications on paper, but does the phone justify its high asking price? We discuss this and more on Orbital, the Gadgets 360 podcast. Orbital is available on Spotify, Gaana, JioSaavn, Google Podcasts, Apple Podcasts, Amazon Music and wherever you get your podcasts.
Affiliate links may be automatically generated - see our ethics statement for details.
 

Catch the latest from the Consumer Electronics Show on Gadgets 360, at our CES 2026 hub.

Further reading: Facebook, Meta
Advertisement

Related Stories

Popular Mobile Brands
  1. Vivo X200T With Zeiss Cameras to Launch in India on This Date
  2. Here's When the Realme P4 Power 5G Will Launch in India
  3. Google Pixel 10a Leak Suggests No Price Hike Over Pixel 9a
  4. Oppo A6 5G Launched in India With 7,000mAh Battery at This Price
  5. Red Magic 11 Air Launched With Snapdragon 8 Elite, 7,000mAh Battery
  6. Samsung Galaxy A57 Spotted on Certification Site With These Key Features
  7. iQOO 15R Will Be Launched in India Soon, Company Confirms
  8. Amazon's New Echo Show 11 Debuts in India With These Features
  9. Motorola Edge 70 Fusion Leak Reveals Full Specifications Ahead of Launch
  10. OnePlus 16 May Launch With These Display, Battery and Camera Upgrades
  1. Eddington Arrives on OTT: What You Need to Know About Joaquin Phoenix and Pedro Pascal Starrer Thriller
  2. Red Magic 11 Air Launched With Snapdragon 8 Elite, RedCore R4 Gaming Chip and 7,000mAh Battery
  3. Nikosh Chhaya Season 2 OTT Release Date Revealed: Know When and Where to Watch This Bengali Horror Series
  4. Oppo A6 5G Launched in India With 7,000mAh Battery, 50-Megapixel Camera: Price, Specifications
  5. Motorola Edge 70 Fusion Full Specifications Including Snapdragon 7s Gen 3 SoC, 7,000mAh Battery Leaked
  6. Splitsville Now Streaming on Amazon Prime Video: Know Everything About This American Dark Comedy
  7. Xiaomi 18 Series to Offer Periscope Telephoto Lens, Wireless Charging Across All Models, Tipster Claims
  8. Bindiya Ke Bahubali Season 2 OTT Release Date: Know Everyting About Cast, Plot, and More
  9. Far Cry 3, Far Cry 3: Blood Dragon and Far Cry Primal Getting 60 FPS Patch on Current-Gen Consoles
  10. OpenAI Offer: ChatGPT Plus Is Now Free for One Month
Gadgets 360 is available in
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2026. All rights reserved.