Mon. Nov 3rd, 2025

FG, Meta to Agree Out-of-Court Settlement Over $32.8m Privacy Penalty

The Federal Government of Nigeria and Meta Platforms Inc. have quietly shifted gears in their long-running dispute over alleged breaches of data privacy for Nigerian users. Instead of heading to a full courtroom battle, both sides have decided to settle the matter behind closed doors.

The case dates back to February, when the Nigeria Data Protection Commission (NDPC) imposed a stiff $32.8 million fine on Meta and ordered eight corrective measures for purported violations of the Nigeria Data Protection Act. Meta, the parent company of Facebook and Instagram, contested the findings and challenged both the process and legality of the actions.

When the matter came before Justice James Omotosho at the Federal High Court in Abuja, Meta’s legal team told the court they were in the “advanced stage” of settlement. They asked the court to pause any ruling so that negotiations could conclude without interference. Meta’s counsel, Fred Onwuobia, SAN, emphasized that both parties wanted to avoid a judgment that might complicate ongoing talks. NDPC’s lead lawyer, Adedipe, SAN, supported the request, noting that settlement discussions had “advanced appreciably.”

Justice Omotosho responded in kind. He expressed a preference for resolution without adjudication and postponed any ruling or adoption of settlement terms to October 31, 2025. At that time he will either adopt a consent judgment agreed by both parties or issue a formal ruling.

Among the issues in contention was a petition filed by the Personal Data Protection Awareness Initiative accusing Meta of engaging in behavioral advertising without proper consent from Nigerian users. The NDPC also claimed that Meta failed to meet compliance, allowed data transfers across borders improperly, processed data of non-users, and more.

Meta, however, maintained that it was denied due process. Its lead counsel, Prof. Gbolahan Elias, SAN, argued that Meta did not receive adequate notice or opportunity to respond before orders were issued, and that the enforcement orders violated constitutional protections. The NDPC countered by asserting that Meta’s legal filings were inconsistent and defective.

Meta has already filed motions to align and amend its court papers so that they reflect its original claims more precisely. The judge had earlier approved their right to pursue judicial review but refused to halt enforcement of NDPC’s directives. In late July, Justice Omotosho scheduled consolidated hearings for the NDPC’s objection and Meta’s motions, but with settlement now in hand the direction has shifted.

If the consent agreement is accepted, the settlement will likely circumvent years of drawn-out litigation and provide a framework both sides can live with. The final outcome will come either as a judicial adoption of their terms or a last-minute ruling.

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