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The Federal High Court in Abuja has struck out a N30 billion lawsuit against Meta Platforms and AT3 Resources Limited by the Advertising Regulatory Council of Nigeria (ARCON) regarding alleged illegal advertising practices. ARCON accused Meta Platforms of exposing unvetted adverts in Nigeria without approval, leading to revenue loss for the Nigerian government.
ARCON sought sanctions against Meta and AT3 for their alleged violation of advertising laws following Meta’s continued exposure of unapproved adverts on its platforms. However, Meta argued for lack of jurisdiction, stating it’s a foreign entity not subject to Nigerian court jurisdiction unless it submits voluntarily.
In a recent court ruling, Justice Peter Lifu struck out ARCON’s case following a notice of discontinuance entered by the plaintiff’s lawyer. ARCON had alleged that Meta’s exposure to unvetted adverts led to revenue loss for the Nigerian government and sought a N30 billion cost against Meta.
Meta’s legal team argued that the court lacked jurisdiction over the foreign entity and urged the court to strike out the suit. Ultimately, ARCON decided to discontinue the case, leading to its dismissal by the court.
ARCON is a regulatory agency of the Federal Government of Nigeria, while Meta Platforms is a multinational social technology company that owns Facebook, Instagram, WhatsApp, and other platforms. AT3 Resources Limited is a marketing communication company that manages Meta’s reputation and social media accounts in Nigeria.
If ARCON had won the case, the cost for vetting adverts would have likely fallen on advertisers rather than Meta. This ruling highlights the complexities of regulating online advertising and the challenges of enforcing laws across borders.