On August 26, 2026, New Jersey Attorney General Jennifer Davenport announced that New Jersey will receive at least $525 million — and potentially more than $752 million — as part of a historic multistate settlement with Meta Platforms, the parent company of Facebook and Instagram. The settlement is part of a broader $17 billion agreement between Meta and 47 states resolving claims that Meta knowingly designed its platforms with addictive features that harmed children's mental health. Here are the confirmed facts.
What the Lawsuit Was About
In 2023, New Jersey was among 29 states that sued Meta in federal court, accusing the company of deliberately designing Instagram and Facebook with features intended to keep children and teenagers addicted — including push notifications, algorithmic recommendation systems, engagement-maximizing content feeds, and social comparison tools like visible "like" counts and beauty filters — while misrepresenting the safety of those platforms to parents and the public. New Jersey began co-leading a bipartisan multistate investigation into the social media industry for these practices as early as 2021.
The trial over Meta's alleged deception began in Oakland, California in August 2026, with New Jersey Attorney General Davenport joining the attorneys general of California, Colorado, and Kentucky in leading the trial team. The settlement was announced August 26 and requires court approval before it takes effect.
How Much New Jersey Gets
New Jersey will receive at least $525 million and could receive more than $752 million from the settlement, according to the state Attorney General's announcement. The specific amount New Jersey ultimately receives depends on the final distribution formula applied across the 47 participating states. California could receive $2.2 billion; New York $1.1 billion. The total multistate settlement is $17 billion, with Meta's overall payment including a separate data-privacy settlement totaling approximately $18 billion. Meta did not admit wrongdoing as part of the agreement.
A separate but concurrent settlement resolves Meta's handling of user data. From that settlement, New Jersey will receive more than $20 million.
What Meta Must Now Do
The settlement imposes specific new requirements on how Meta operates Instagram and Facebook for users under 18. The confirmed obligations include:
Nighttime blocks restricting youth access to both platforms between midnight and 6:00 a.m.
School-time restrictions limiting push notifications and access on weekdays between 8:00 a.m. and 3:00 p.m.
Restriction of social comparison features including beauty filters and visible "like" counts that states alleged contributed to poor mental health outcomes in children and teenagers.
Default time limits on platform use for accounts belonging to minors.
Disabling of algorithmic recommendation features that states alleged amplified harmful content for younger users.
How New Jersey Used the Settlement Process
New Jersey's role in this settlement reflects a pattern that has made the state a significant player in multistate technology accountability actions. New Jersey AG Davenport co-led the trial team — meaning NJ was at the table as the case went to trial, not merely a signatory state. Governor Sherrill praised the outcome as a major victory for families while specifically committing to continue pressing other technology companies on similar issues.
Sherrill, who has described herself as a parent of four and said she has witnessed firsthand the effects of social media on children, framed the settlement not as an endpoint but as the beginning of ongoing accountability: "I will keep working to ensure New Jersey is a place where kids and parents can feel secure knowing that we have their backs in this fight."
What Happens Next
The settlement requires court approval, which was pending at the time of announcement. The new platform requirements for Meta will take effect as part of the settlement's implementation schedule. How New Jersey will deploy the settlement funds — whether into general revenue, a dedicated youth mental health fund, or specific program expenditures — had not been fully announced as of this writing. The state has said the money will "continue the fight" for children's mental health and safety, but the specific appropriation of funds will be determined through the state budget process.
Frequently Asked Questions
How much is New Jersey getting from the Meta settlement? At least $525 million, and potentially more than $752 million, depending on the final distribution formula. A separate data-privacy settlement brings New Jersey at least an additional $20 million from Meta.
What will New Jersey do with the Meta settlement money? The specific use of the settlement funds had not been fully announced as of this writing. Governor Sherrill has indicated it will support ongoing work on children's mental health and safety. The appropriation will be determined through the state budget process after court approval of the settlement.
Did Meta admit wrongdoing? No. Meta did not admit wrongdoing as part of the settlement.
What does the settlement require Meta to do for children on Instagram and Facebook? Key requirements include nighttime access blocks (midnight–6 a.m.), school-time push notification restrictions, removal of beauty filters and visible like counts for minor users, default time limits, and restrictions on algorithmic recommendation features. These apply to users under 18 on both Instagram and Facebook.