A federal judge in San Francisco has dismissed a Facebook shareholder’s lawsuit accusing the social media giant’s officers and directors of failing to solve problems at the company related to racial diversity and inclusion.
U.S. Magistrate Judge Laurel Beeler said on Friday that Facebook’s commitments to diversity in its annual proxy statements were inactionable puffery that could not support shareholder Natalie Ocegueda’s lawsuit. The ruling appears to be the first on a motion to dismiss among several similar cases seeking to hold corporate officers and directors accountable for failing to deliver on diversity-related promises. Beeler granted permission to amend and re-file the suit.
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