Nigeria Sues Tech Giant Meta for $69.5m Over Ad Regulations Violations

The Nigerian government, through the Advertising Regulatory Council of Nigeria (ARCON), has sued Meta and its agent AT3 Resources Limited for N30 billion ($69,461,640.00) for violating advertising regulations.

ARCON is seeking a declaration that the publication of various advertisements and marketing communications materials on the social media platforms of Meta, which include Facebook, WhatsApp, and Instagram, without the required screening and approval by the Advertising Standards Panel (ASP), is illegal, unlawful, and violates advertising laws in Nigeria.

According to ARCON, the publication of such an advert disregarded Nigerian culture, moral values, constitutional tenets, and religious sensitivity. The council is, therefore, seeking an order of perpetual injunction restraining the defendants, their privies, agents, assigns, servants, workers, and associates from publishing any advertisement material targeted at the Nigeria market and in Nigeria through the online and social media platforms of the first defendant without first submitting the proposed advertisement and marketing communication to the regulatory council for vetting and approval before rolling it out to the public.

The ARCON Act No.23 of 2022 states that all advertisements must be approved by the council before they are published, which justifies ARCON suing Meta for publishing unauthorized advertisements on its platforms. As a result, the advertising regulatory council is seeking the sum of N30 billion in fines and sanctions for the continued violations and infractions of the Act.

Before the enactment of the ARCON Act 2022, the now-revoked Advertising Practitioners Council of Nigeria Act (APCON) oversaw the control of the practice of the advertising profession. However, due to the deficiencies of the APCON Act and the transformation in advertising practices caused by digital implosion, the new legislation was necessary to regulate and control advertising practices in the country more effectively.

The newly rolled-out ARCON Act is expected to put the regulatory body in good stead to better carry out its statutory regulatory duties and fix noticeable gaps in the former APCON Act, including the control of new media and online advertising, which was not adequately handled in the previous Act.