Facebook’s $5 Billion Fine a Win for Zuckerberg, Suit Says (1)

Rhode Island sued Facebook Inc. in Delaware, saying it needs corporate records to investigate whether the company negotiated a larger-than-necessary $5 billion fine—the Federal Trade Commission’s largest ever— because the FTC agreed not to hold CEO Mark Zuckerberg accountable.

“Facebook’s negotiators treated personal consequences for Zuckerberg as a red line,” the Chancery Court lawsuit says. “The tech giant’s internal briefing materials reflected its willingness to cease settlement talks and send the matter to court, if necessary, to protect their executive.”

Those materials and other communications—including privileged legal documents—are necessary to probe claims the company knowingly overpaid the FTC by $2 ...