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Meta settles first US case over school costs tied to youth mental health, court filing shows

By Thomson Reuters May 21, 2026 | 12:35 PM

May 21 (Reuters) – Meta Platforms on Thursday reached a settlement in the first case set for trial seeking to make social media ​companies cover the costs that school districts ‌say they have incurred to combat a mental health crisis allegedly fueled by platforms.

The agreement fully resolves a lawsuit brought by a Kentucky school district, following earlier settlements by ‌co-defendants ​Alphabet’s YouTube, Snap and TikTok. ⁠The case had been ⁠scheduled for a June 15 trial in federal court in Oakland, California.

“We’ve resolved this case amicably and remain focused on our longstanding work ​to build protections like Teen Accounts that help teens stay safe online, while giving parents simple ⁠controls to support their families,” ⁠said a spokesperson for Meta.

Breathitt County ​School District, a small rural district in Appalachia, accused ​the companies of designing their platforms to ‌keep young users hooked, driving anxiety, depression and self-harm among students and leaving schools to deal with the consequences.

Breathitt is among roughly 1,200 school districts ⁠pursuing similar claims. Its case was selected as a bellwether, or test case, for those lawsuits.

The lawsuit sought over $60 ⁠million to ‌cover the costs of counteracting the ⁠impact of social media on students’ ​mental ‌health and to fund a 15-year ​mental health ⁠program to abate the problem. It also sought a court order requiring the companies to modify their platforms to reduce addictive features.

(Reporting by Courtney Rozen, Alexia Garamfalvi and Bhargav Acharya; Editing by Caitlin Webber and ​David Ljunggren)