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The lawsuit was first reported by the Wall Street Journal, which cited a person familiar with the matter as saying that the state was seeking hundreds of billions of dollars in civil penalties.
Facebook did not immediately respond to a request for comment.
The lawsuit was filed in a state court in Marshall, Texas.
“This is yet another example of Big Tech’s deceitful business practices and it must stop. I will continue to fight for Texans’ privacy and security,” Attorney General Ken Paxton said in a statement.