What the SCAM Act and New Mexico v. Meta Mean for the Fight Against Online Fraud

On February 4, 2026, Senator Ruben Gallego (D-AZ) introduced S. 3774, the Safeguarding Consumers from Advertising Misconduct (SCAM) Act, with Senator Bernie Moreno (R-OH) co-sponsoring on the same day, giving the bill bipartisan support from the outset. Eight days later, on February 12, Representatives Dan Meuser (R-PA) and Lou Correa (D-CA) introduced a companion bill in the House, H.R. 7548. The legislation represents the first federal effort to directly target fraudulent and deceptive advertising on social media platforms, and to strip those platforms of the Section 230 immunity they have long relied upon to avoid accountability for paid content.