The Consumer Federation of America sued Meta alleging it knowingly profited from scam advertising despite public promises to crack down

The nonprofit Consumer Federation of America filed a lawsuit against Meta alleging the company violated consumer protection laws by allowing scam ads to proliferate on its platform because it had a financial incentive to do so, citing internal documents suggesting Meta was generating roughly $16B per year, or 10% of its annual revenue, from scam advertising and promotions for banned goods. The CFA's complaint points to ads in Meta's own ads library that it claims are well-known scam formats, including promotions targeting users by birth year touting $1,400 checks and ads for free government iPhones. Meta denied the $16B revenue figure and told Reuters it reduced user reports of scam ads globally by 58% in 2025, a defense it is expected to lean on heavily in the case.