#USA #Class Action #Washington #Facebook Ads #Instagram Ads

Class Action Lawsuit Concerning Facebook and Instagram Ads

On May 28, 2025, a significant class action lawsuit was instigated by Cohen Milstein Sellers & Toll PLLC alongside the Law Offices of Charles Reichmann. This legal action primarily concerns individuals and businesses who purchased advertisements on Facebook and Instagram between August 15, 2015, and October 27, 2021. If you fall into this category, your rights in this matter could be impacted, and it is essential to understand the proceedings.

Overview of the Lawsuit

The case, referenced as DZ Reserve, et al. v. Meta Platforms, Inc., alleges that Meta Platforms (commonly known as Facebook) engaged in deceptive practices by misrepresenting its Potential Reach metrics. The plaintiffs assert that these metrics, which purportedly indicated the number of unique people who could see their ads, were actually inflated estimates that reflected the number of accounts rather than unique individuals. As a result, advertisers were charged elevated prices based on misleading information.

The lawsuit emphasizes that the discrepancy between the number of accounts and actual unique users led to an inaccurate portrayal of the audience that advertisements could effectively reach. According to the plaintiffs, this inflated reach resulted in advertisers overpaying for their ad placements, causing potential financial harm.

Facebook's Response

In response to these allegations, Facebook has categorically denied wrongdoing. The company claims that it provided adequate information regarding the Potential Reach figures, including disclaimers that acknowledged possible duplications due to users having multiple accounts. Moreover, Facebook insists that it charged advertisers based on the actual results derived from their ad campaigns rather than the Potential Reach estimates.

The court is yet to make a decision regarding the validity of these claims, but it has ruled that the case should proceed as a class action, potentially benefiting a large group of affected advertisers.

Who Qualifies as a Class Member?

Individuals are considered part of the class if they:

• - Are residents of the United States.
• - Paid for at least one advertisement on Facebook or Instagram during the specified period.
• - The advertisement(s) do not meet specific exclusion criteria outlined in the lawsuit.

These exclusions include advertisements under special agreements, ads that employed certain targeting criteria, and those where Potential Reach was minimal.

For a detailed understanding of the criteria and exclusions, interested parties can refer to the Long-Form Notice that can be downloaded from the official lawsuit website: Facebook Potential Reach Lawsuit.

Rights and Options for Class Members

If you are identified as a class member, you have several options:
1. Do Nothing: By inaction, you choose to stay in the class, potentially receiving benefits if the lawsuit is resolved favorably for the plaintiffs. However, this also means you relinquish your right to pursue individual claims against Facebook.
2. Exclude Yourself: If you prefer to maintain the right to file a separate lawsuit against Facebook, you can opt out of the class action. By doing this, you forfeit any claims for shared benefits from the class action but preserve your ability to seek damages independently. The deadline to opt out is July 28, 2025.

Upcoming Trial Details

A jury trial has been scheduled, commencing on October 14, 2025, at the United States District Court, Northern District of California. This ruling offers both parties an opportunity to present their evidence and arguments before a jury, who will ultimately decide the outcome of the case.

Additional Information

For further inquiries or detailed information, individuals can contact the Class Action hotline at 888-206-2123 or visit the aforementioned website. It is essential for all potential class members to stay informed and consider their options regarding this important legal matter. This lawsuit represents a significant moment for advertisers and may lead to changes in how social media platforms handle advertising metrics.