Meta Shareholders Seek Sanctions Against Sandberg and Zients Over Email Deletions
In a recent development in the ongoing legal battle surrounding Meta, formerly Facebook, shareholders’ attorneys have requested sanctions against former Chief Operating Officer Sheryl Sandberg and board member Jeff Zients. The legal action stems from allegations of email deletion related to the Cambridge Analytica scandal, a controversy that has plagued the social media giant for years.
The attorneys claim that both Sandberg and Zients used personal email accounts for communication on key issues pertinent to the lawsuit, despite receiving litigation holds to preserve documents. Sandberg is accused of maintaining a 30-day deletion policy on her Gmail account, while Zients allegedly employed an auto-delete function, actions that the plaintiffs argue constitute knowingly destroying electronically stored information.
In response to these allegations, the plaintiffs are seeking to prohibit Sandberg and Zients from testifying about personal email communications and suggest raising the burden of proof for their defenses. They assert that Sandberg, in particular, controlled document retention policies at the company.
The defense, however, describes the email deletions as “unfortunate” but not prejudicial to the case. They maintain that there was no intent to destroy relevant information and suggest that the emails in question are likely available from other Facebook sources.
As the legal proceedings unfold, Sandberg has recently been deposed, with Zients’ deposition scheduled for February. Delaware Chancery Court Judge Travis Laster, who is presiding over the case, plans to review Sandberg’s deposition transcript before ruling on the requested sanctions. It’s worth noting that Judge Laster previously rejected a defense motion to dismiss the lawsuit.
The lawsuit at the heart of this dispute alleges that Facebook violated a 2012 Federal Trade Commission (FTC) consent order by engaging in unauthorized data collection and sharing. These claims are closely tied to the Cambridge Analytica scandal, which involved a British political consulting firm associated with Donald Trump’s 2016 presidential campaign.
The Cambridge Analytica affair had far-reaching consequences for Facebook, including a $5 billion penalty to settle FTC charges. This scandal, along with other data privacy concerns, has continued to cast a shadow over the company’s operations and public image.
As this legal battle continues, the outcome of the sanctions request could have significant implications for the case and potentially for corporate email practices in high-stakes litigation. The tech industry and legal observers alike will be watching closely as Judge Laster considers the evidence and makes his ruling on this latest development in the ongoing Meta shareholder lawsuit.