$32.8m Fine: Meta, Nigeria Settle Out Of Court

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$32.8m Fine: Meta, Nigeria Settle Out Of Court

Meta, the parent company of Facebook and Instagram, has settled out of court its dispute with the Nigerian government over a $32.8 million data violation fine lingering since February.

The government, through the Nigeria Data Protection Commission (NDPC), imposed the fine on Meta on 18 February over alleged data transfer violations, unsolicited advertisements, and failure to file audit reports, among other breaches counted against the tech company.

The move triggered a dispute, with Meta at some point threatening to shut down its operations in Nigeria.

After months of legal battle, the parties on Monday told the court that they had resolved the matter amicably.

Meta’s lawyer, Fred Onuofia, a Senior Advocate of Nigeria (SAN), urged the court to adopt parties’ terms of settlement as its judgement.

“We adopt the terms of settlement and urge my lord to enter the terms as judgment in this case,” he said.

Nigerian government’s lawyer, Adeola Adedipe, SAN, agreed with the request.

The Judge, Justice James Omotosho, who expressed the court’s commitment to encouraging alternative dispute resolution, adopted the terms of settlement filed by the parties on 31 October, as agreed by the parties.

“Having been agreed by all parties, the terms of settlement reached by parties in suit number FHC/ABJ/CS/355/2025, dated 30 October 2025 and filed on 31 October 2025, is hereby entered as the judgment in this suit,” the judge ruled.

Details of the terms of settlement were not made public.

How it began

The dispute began after the Nigerian government, through the NPDC, issued its Final Orders on 18 February, slapping the tech giant with $32.8 million remedial fee and eight corrective directives on Meta for alleged violations.

NPDC imposed the fine on Meta under the Nigeria Data Protection Act, signed by President Bola Tinubu in June 2023.

The action followed a petition by the Personal Data Protection Awareness Initiative, which accused Meta of running behavioural advertising on Facebook and Instagram without users’ explicit consent.

NDPC alleged Meta processed data of non-users, failed to file its 2022 compliance audit, transferred Nigerians’ data abroad without authorisation, and targeted minors.

The commission ordered the company to conduct a data protection impact assessment reflecting Nigeria’s context, update privacy policies, seek express consent for behavioural advertising, and halt the transfer of data outside Nigeria without approval.

Legal battle

Meta denied the findings and the process. On 26 February, Meta Platforms Inc. (Meta’s full official name), filed an ex-parte motion seeking an order quashing NDPC’s compliance and enforcement orders dated 18 February.

The legal action primarily sought the court’s order nullifying “all other investigations, proceedings and actions taken by respondent against the applicant leading to the ‘Final Orders.’”

On 4 March, Meta’s lawyer, Mr Onuofia, moved the application, which judge James Omotosho partly granted.

The judge granted leave to Meta to commence judicial review proceedings against NPDC’s orders

However, he refused to grant Meta’s request for a stay of the proceedings of all matters relating to the “Final Orders” pending the hearing and determination of the judicial review proceedings.

The judge also issued an order for accelerated hearing of the main suit.

In reaction to the substantive suit, NDPC, through its lawyer, Mr Adedipe, filed a preliminary objection, contending that the suit was incompetent and the court lacked the jurisdiction to hear it.

The commission claimed Meta failed to comply with rules guiding judicial review under Order 34 of the Federal High Court (Civil Procedure) Rules, 2019.

In a 19 March filing, Meta said the NDPC denied it fair hearing and due process. Its lawyer, Gbolahan Elias, asked the Federal High Court to quash the enforcement orders, arguing they breached Section 36 of the Nigerian Constitution.

But NDPC’s lawyer contended that Meta was attempting to introduce new prayers after the court had ruled on its ex parte application. He maintained that amendment was not permitted under the rules of court.

Meta’s lawyers subsequently filed a motion on April 23 seeking permission to amend its initial statement to align it with its prayers.

After a hearing on 16 July, the court adjourned the matter until 3 October for a consolidated ruling on NDPC’s preliminary objection and Meta’s motion to amend its filings.

But, on 3 October, instead of the court delivering its ruling, the parties informed the judge they were ready to settle. The judge then adjourned till Monday (today) to allow them to pursue settlement.

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