Social media companies including Meta have settled the first of many lawsuits brought by hundreds of school districts seeking compensation for costs they say they incurred dealing with harms to children’s mental health from social media addiction.
The lawsuit brought by a small, rural Kentucky school district was set to go to trial next month in federal court in Oakland, California. The judge and the parties selected it as a bellwether case — essentially a test for both sides to see how their arguments play out before a jury — out of 1,200 similar cases. The settlement only applies to the Breathitt County School District.
Meta reached a settlement with the district Thursday, following settlements earlier this week with the other defendants in the case — TikTok, Snap and Google’s YouTube.
The financial terms of the settlements were not disclosed. The school district had sought more than $60 million to create a 15-year program it said would help counteract mental health and learning issues caused by social media.
The plaintiffs’ attorneys said in a statement that their “focus remains on pursuing justice for the remaining 1,200 school districts who have filed cases.”
The settlement follows court losses earlier this year for Meta and YouTube in social media harms lawsuits in California and New Mexico.
In March, Meta and YouTube were found liable for designing addictive features following a trial in Los Angeles. The plaintiff, known by her initials KGM, claimed she became addicted to social media as a child and that it exacerbated her mental health struggles. A jury sided with her and awarded about $6 million in damages.
And in New Mexico, a jury determined that Meta harms children’s mental health and safety, in violation of state law.
In 2001, Fortune first convened the smartest people we know, bringing together CEOs and founders, builders and investors, thinkers and doers. Since then, Fortune Brainstorm Tech has been the place where bold ideas collide. From June 8–10, we will return to Aspen—where it all began—to mark 25 years of Brainstorm. Register now.