A federal appeals court removed another procedural obstacle facing more than 3,000 lawsuits accusing Meta Platforms, Inc. (NASDAQ:META), Snap Inc. (NYSE:SNAP), Alphabet, and TikTok of harming young users through allegedly addictive product features.
The Ninth Circuit did not decide whether the companies are liable. It ruled that Section 230 provides a defense against liability, not immunity from being sued, making Meta Platforms, Inc. (NASDAQ:META) and TikTok's appeal premature.
Section 230 has already helped narrow the litigation. The lower court found that it barred some feature-related claims while allowing others to proceed. The larger investor question is whether the surviving claims can create a liability channel based on product design rather than content moderation.
With more than 3,000 federal cases, approximately 3,300 additional California state cases, and a major multistate trial approaching, that question is now being tested repeatedly in court.
The strongest point for Meta Platforms, Inc. (NASDAQ:META) and Snap Inc. (NYSE:SNAP) is that the Ninth Circuit resolved a procedural question, not the merits of the lawsuits.
#snap #platforms
The Ninth Circuit did not decide whether the companies are liable. It ruled that Section 230 provides a defense against liability, not immunity from being sued, making Meta Platforms, Inc. (NASDAQ:META) and TikTok's appeal premature.
Section 230 has already helped narrow the litigation. The lower court found that it barred some feature-related claims while allowing others to proceed. The larger investor question is whether the surviving claims can create a liability channel based on product design rather than content moderation.
With more than 3,000 federal cases, approximately 3,300 additional California state cases, and a major multistate trial approaching, that question is now being tested repeatedly in court.
The strongest point for Meta Platforms, Inc. (NASDAQ:META) and Snap Inc. (NYSE:SNAP) is that the Ninth Circuit resolved a procedural question, not the merits of the lawsuits.
#snap #platforms
2 hours ago