Appeals Court Returns Ongoing Backpage Case to District Court

Appeals Court Returns Ongoing Backpage Case to District Court

PASADENA, Calif. — The 9th Circuit Court of Appeals issued a ruling yesterday sending back the Backpage case (known as “USA vs. Larkin” after Jim Larkin, former co-owner with Mike Lacey of the adult online classifieds website) to Judge R. Gary Klausner of the Central District of California.

The ruling follows the oral arguments on July 9, part of the ongoing saga regarding shutting down of the Backpage.com classifieds website and the seizure of millions of dollars in assets, which has been unraveling since the defendants’ March 28, 2018 indictment in Phoeniz, Ariz.

Paul Cambria, counsel for Lacey and part of the defense team, told XBIZ then that his clients had “asked the 9th circuit to vacate the stay that was issued by the district court preventing us from litigating the legality of the seizure of Backpage funds.” According to Cambria “the government conceded during oral arguments that we were correct. Most legal observers, including XBIZ, concurred.

“The government was not effective at all and they conceded that the stay had to be vacated,” Cambria said then.

Yesterday, as expected, the three-judge appellate panel vacated the stay, clearing the way for the Backpage legal team to attempt a defense on First Amendment grounds, arguing that the seizure of the assets related to Lacey and Larkin’s publishing operation before a trial or conviction prevents them from defending themselves properly, and therefore it could have dire consequences for freedom of speech.

The government has endless resources, Cambria and the rest of the team argue, and therefore it can misuse this precedent to prevent publishers whom a particular administration dislikes from defending themselves from any accusation alleged by the state.

For more XBIZ coverage of the Backpage case, click here.

Click here to read the complete 9th Court of Appeals Ruling

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Arizona Senate Removes 'Catch-22' Provision From Consent Bill

The Arizona State Senate has amended a bill that would impose new requirements for adult content uploaded online, removing a seemingly contradictory provision that could have effectively made it impossible for adult sites to operate in the state.

Climaxx Media Launches Networking Platform

Climaxx Media has officially launched its new networking platform.

Italian Court in Aylo Case Limits International Reach of AV Rules

An Italian administrative court has ruled that Italy’s recently-enacted age verification rules for adult content may not currently be enforced against sites based in other EU member states, pending further procedural action under the EU’s Directive on Electronic Commerce.

OCC, FDIC Prohibit Use of 'Reputation Risk' by Regulators

The Office of the Comptroller of the Currency (OCC) and the Federal Deposit Insurance Corporation (FDIC) on Tuesday issued a final rule codifying the elimination of ‘reputation risk’ as a criterion in their supervision of financial institutions.

Wisconsin Governor Vetoes Age Verification Bill

Gov. Tony Evers on Friday vetoed AB 105, an age verification bill that would have allowed anyone to sue adult content providers for damages over alleged failure to age-verify users in Wisconsin, with penalties of up to $10,000 per violation.

FSC Releases Statement on Wisconsin Governor Vetoing AV Bill

The Free Speech Coalition has released a statement on Wisconsin Governor Tony Evers' veto of the state's age verification legislation.

AV Bulletin: West Virginia Enacts AV Law, Ohio 'Innocence Act' Advances

This roundup provides an update on the latest news and developments on the age verification front as it impacts the adult industry.

Woodhull Survey Reveals Concern Among Sex Educators Over AV Laws' Impact on Access

A national survey of sex educators by the Woodhull Freedom Foundation found that a majority of sex educators and sexual health professionals are concerned that age verification (AV) laws will negatively impact access to information and resources.

Clips4Sale Wins Trademark Infringement Case Against Fraudulent Domain

The World Intellectual Property Organization (WIPO) has ruled in favor of content platform Clips4Sale in a case against a website using a similar domain to impersonate the site.

Pineapple Support, SextPanther to Host Stress Management Support Group

Pineapple Support and SextPanther are hosting a free online support group focused on stress management for performers.

Show More