Australian Competition and Consumer Commission v Meta Platforms Inc [2023] FCA 842

Australian Competition and Consumer Commission v Meta Platforms Inc [2023] FCA 842

Facebook Israel Ltd and Onavo Inc contravened ss 18 and 33 of the Australian Consumer Law by offering, advertising, and promoting Onavo Protect without sufficiently prominent and proximate disclosures to Australian consumers that user data would be used for purposes other than providing the app. The Court was satisfied to make declarations and impose a total pecuniary penalty of $20 million, given the seriousness of the conduct, the admitted contraventions, the public interest, and the appropriateness of agreed penalty proposals.

Jurisdiction
Australia
Judgment Date
26 July 2023
Procedural Posture
Civil / Final Determination and Orders
Outcome
Declarations made as sought against Facebook Israel Ltd and Onavo Inc; civil penalties of $10,000,000 each imposed; costs order of $400,000 made; proceeding otherwise dismissed as to Meta Platforms Inc.
Legal Topics
['misleading or Deceptive Conduct' 'public Misleading' 'pecuniary Penalties' 'declaratory Relief' 'privacy and Data Protection']
['consumer Law' 'commercial Law'] ['misleading or Deceptive Conduct' 'public Misleading' 'pecuniary Penalties' 'declaratory Relief' 'privacy and Data Protection']

Case Brief

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Procedural Posture

Civil / Final Determination and Orders

Legal Issues

  1. 1 ['Whether advertising and promotion of Onavo Protect by Facebook Israel Ltd and Onavo Inc contravened ss 18 and 33 of the Australian Consumer Law via misleading conduct and omission of data use disclosures' 'Whether the Court should make declarations and impose civil penalties as proposed' 'Appropriateness of penalty and declarations in light of admissions and joint submissions']

Ratio Decidendi

Facebook Israel Ltd and Onavo Inc contravened ss 18 and 33 of the Australian Consumer Law by offering, advertising, and promoting Onavo Protect without sufficiently prominent and proximate disclosures to Australian consumers that user data would be used for purposes other than providing the app. The Court was satisfied to make declarations and impose a total pecuniary penalty of $20 million, given the seriousness of the conduct, the admitted contraventions, the public interest, and the appropriateness of agreed penalty proposals.

Court Disposition

Declarations made as sought against Facebook Israel Ltd and Onavo Inc; civil penalties of $10,000,000 each imposed; costs order of $400,000 made; proceeding otherwise dismissed as to Meta Platforms Inc.

Orders

  • ['Facebook Israel Ltd to pay pecuniary penalty of $10,000,000 within 30 days for contravention of s 33 of ACL.' 'Onavo Inc to pay pecuniary penalty of $10,000,000 within 30 days for contravention of s 33 of ACL.' 'Facebook Israel Ltd and Onavo Inc to pay $400,000 to ACCC for costs of and incidental to the proceeding...