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Meta, NDPC explore out-of-court settlement over $32.8m fine

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Meta Platforms Inc., parent company of Facebook and Instagram, has opened talks for an out-of-court settlement with the Nigeria Data Protection Commission.

This follows the company’s lawsuit challenging a $32.8 million fine and compliance orders issued against it over alleged privacy breaches involving Nigerian users.

Both parties’ legal teams informed Justice James Omotosho of the Federal High Court in Abuja of the settlement efforts.

The court had been scheduled to rule on NDPC’s preliminary objection to Meta’s suit and the company’s bid to amend its filings.

It was earlier reported that the NDPC asked the court to dismiss Meta’s case.

In its preliminary objection, the NDPC maintained that Meta’s lawsuit is “grossly incompetent” and that the Federal High Court lacks jurisdiction to entertain it.

The Commission further argued that Meta failed to adhere to the requirements of Order 34 of the Federal High Court (Civil Procedure) Rules, 2019, which govern judicial review proceedings.

The dispute traces back to the NDPC’s February 18, 2025 decision to fine Meta $32.8 million and issue eight corrective orders for alleged violations of the Nigeria Data Protection Act.

The action followed a petition from the Personal Data Protection Awareness Initiative, a civil society group, which accused Meta of conducting behavioural advertising on Facebook and Instagram without securing the explicit consent of Nigerian users.

NDPC further alleged that Meta failed to submit its 2022 compliance audit, breached cross-border data transfer regulations, and processed the personal data of non-users, among other violations.

At the scheduled ruling, Meta’s counsel, Fred Onwuobia, SAN, asked the court to defer its decision on both the preliminary objection and Meta’s motion to amend its filings, noting that the parties had “reached an advanced stage of settlement.”

He explained that both sides preferred to resolve the dispute amicably and expressed concern that a ruling at this stage could disrupt ongoing negotiations.

“The draft terms of settlement have been exchanged,” he said.

Onwuobia urged the court to adjourn the matter to allow the parties return with a settlement report.

Counsel to the NDPC, Adedipe, SAN, confirmed the submission, noting that discussions had “advanced appreciably.”

He requested an adjournment to enable the parties present settlement terms that could be adopted by the court as a consent judgment.

In response, Justice Omotosho stated that the court encourages amicable resolution of disputes and, accordingly, was “inclined not to deliver his ruling today.”

Omotosho thereafter adjourned the case to October 31, 2025, for either a ruling or the adoption of settlement terms.