Berman Tabacco serves as liaison counsel and a member of Plaintiffs’ Counsel’s Executive Committee representing Facebook shareholders in a derivative action filed against certain officers and directors of Facebook, Inc.’s board. The consolidated cases are pending before the Honorable Haywood S. Gilliam, Jr., in the United States District Court for Northern District of California.
Shareholders allege that these officers and directors breached their fiduciary duties and made misrepresentations and omissions related to Facebook’s failure to protect sensitive data for at least 50 million users in violation of state and federal law. More specifically, the complaint claims that the information was shared with Cambridge Analytica, among others, which allegedly weaponized the data to target political advertising and manipulate voters in the lead-up to the 2016 U.S. Presidential Election. In this age of social media, shareholders allege that the officers and directors put profits above privacy, resulting in far-reaching consequences for Facebook and our Republic.
The lawsuit seeks reforms to Facebook’s corporate governance and internal procedures, restitution and disgorgement from Facebook’s officers and directors, declaratory and equitable relief, and damages for Facebook, as well as other forms of relief.