5th Circuit Upholds Texas' Controversial Online Platform Liability Law

5th Circuit Upholds Texas' Controversial Online Platform Liability Law

AUSTIN, Texas — The Fifth Circuit Court of Appeals today upheld a controversial Texas law prohibiting social media platforms from “censoring speech based on the viewpoint of its speaker,” in a decision that ignored long-standing precedent that First Amendment protections prohibit only censorship by the government, not by private companies.

According to the court’s decision, even though platforms contend that “the statute is facially unconstitutional and hence cannot be applied to anyone at any time and under any circumstances,” the majority-conservative justices on the Fifth Circuit bench “reject the idea that corporations have a freewheeling First Amendment right to censor what people say.”

“Because the district court held otherwise,” the judges declared, “we reverse its injunction and remand for further proceedings.”

The ideologically-worded decision also included the judges’ opinion that “the platforms offer a rather odd inversion of the First Amendment. That Amendment, of course, protects every person’s right to ‘the freedom of speech.’ But the platforms argue that buried somewhere in the person’s enumerated right to free speech lies a corporation’s unenumerated right to muzzle speech.”

The implications of the platforms’ argument, they continued, “are staggering. On the platforms’ view, email providers, mobile phone companies, and banks could cancel the accounts of anyone who sends an email, makes a phone call, or spends money in support of a disfavored political party, candidate, or business. What’s worse, the platforms argue that a business can acquire a dominant market position by holding itself out as open to everyone.”

A Republican Law Upheld by Conservative Judges

The Republican-backed state law, HB 20, would make social media platforms liable for moderating content based on what the law defines as “viewpoints.” It was drafted with the support of Texas governor Greg Abbott as an answer to conservative complaints about supposed “liberal bias” in platform moderation, including the lifetime Twitter ban of former President Donald Trump.

The law has been subject to a back-and-forth judicial process. As XBIZ reported, back in May, the U.S. Supreme Court temporarily blocked HB 20, shortly after a Fifth Circuit three-judge appeals panel ruled that the law could go into effect “immediately” — in turn staying a previous district court injunction that had put enforcement of the law on hold.

The Fifth Circuit panel decision in May was communicated without explanation as to the court’s reasoning and with two of the judges remaining anonymous. At the time, tech news site Protocol reported that, during the hearings, “the jurists appeared to struggle with basic tech concepts, including whether Twitter counts as a website.” 

That decision, ratified today, was seen “a win for conservative critics of the current interpretation of tech law, which underlies the operations of social media platforms such as Twitter and Facebook,” Protocol continued.

Industry Lawyer Weighs In

"It appears the Fifth Circuit got the First Amendment analysis alarmingly wrong," said industry attorney and First Amendment expert Lawrence Walters, of the Walters Law Group. "It deems the platforms’ actions in hosting and facilitating speech to be 'conduct,' not speech, in disregard of decades of precedent recognizing the First Amendment rights of platforms to engage in their own speech through editorial decisions."

Walters added that he suspects "the decision will be reversed if taken up by the Supreme Court."

Copyright © 2024 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

Aylo Challenges EU's DSA Mandate to Reveal Legal Names of Advertisers, Including Performers

Aylo has filed an appeal with the Court of Justice of the European Union (CJEU) challenging the EU's Digital Services Act mandate to disclose the legal names of advertisers, including performers, in a publicly accessible database.

Irish Senate Endorses Age Verification Proposal Based on Anti-Porn US State Laws

The Senate of the Republic of Ireland — known by its Gaelic name Seanad Éireann — has endorsed an age verification bill introduced by a senator who said he was inspired by the U.S. state laws promoted by religious conservative anti-porn crusaders.

Meta Admits to Updating Database of Banned Images Based on 'Media Reports'

Meta has told its Oversight Board that the company relies on “media reports” when deciding to add images to its permanent database of banned content for its platforms, including Instagram and Facebook.

MintStars Launches Tipping Solution MintPay

MintStars has unveiled payment processing solution MintPay, aiming to make tipping creators easier for fans.

Popular Pakistani Actor and Director Yasir Hussain Proposes Legalizing Porn

Prominent Pakistani actor, director and TV personality Yasir Hussain has sparked debate in the majority-Muslim country by suggesting that pornography should be legalized there and that society should own up to so many Pakistanis already being habitual consumers.

AEBN Publishes Popular Searches for May and June

AEBN has released the top search terms for the months of May and June from its straight and gay theaters in all 50 states and the District of Columbia.

Senior Labour MP Launches Attack on All Porn, Sex Work

A senior Labour MP on Tuesday launched an attack against adult websites, saying they are “characterized by lawlessness,” and called for further criminalization of all sex work.

Conservative Taxpayers Group Criticizes KOSA's Overreach

Conservative newspaper The Washington Times on Tuesday published an opinion piece by the executive director of the Taxpayers Protection Alliance, criticizing the Kids Online Safety Act (KOSA) on constitutional grounds.

Los Angeles-Area Man Pleads Guilty to Wire Fraud Over Bogus Adult Sites

A Los Angeles-area man pleaded guilty on Monday to defrauding investors out of more than $1 million “by making false promises that they would receive an ownership interest in several adult entertainment webcam websites and then using their money on personal expenses, including luxury items,” according to the Department of Justice.

More Conservative Organizations Distance Themselves From Anti-Porn Project 2025

A growing list of conservative groups that previously endorsed Project 2025 — which calls for the criminalization of adult content production and distribution — have reportedly distanced themselves from the self-described “presidential transition” blueprint, following Donald Trump’s repeated claims that he disagrees with an unspecified number of its positions.

Show More