Overview

• A non-jury trial opened July 16 in Delaware Chancery Court before Chancellor Kathaleen St. J. McCormick.
• Shareholders allege Zuckerberg and other board members failed to enforce a 2012 FTC consent order and are demanding $8 billion to cover fines and legal costs from the Cambridge Analytica breach.
• Privacy scholar Neil Richards testified that Facebook’s disclosures misled users and cast doubt on the effectiveness of internal audits.
• Defendants contend they complied with the FTC by hiring outside consultants and were misled by Cambridge Analytica’s actions.
• Legal experts say this first‐of‐its‐kind Caremark oversight trial could establish new standards for board accountability in Big Tech.