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Breaking: Elon Musk’s X Sees Big Win Despite Latest Legal Setback

David Pokima
September 4, 2024 Updated September 5, 2024
David Pokima

David Pokima

Crypto Journalist
Expertise : Finance/Crypto Journalist
David is a finance news contributor with 4 years of experience in Blockchain Technology and Cryptocurrencies. He is interested in learning about emerging technologies and has an eye for breaking news. Staying updated with trends, David reported in several niches including regulation, partnerships, crypto assets, stocks, NFTs, etc. Away from the financial markets, David goes cycling and horse riding.
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Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
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Highlights

  • X has received the green light to seek an injunction against California social media law.
  • The law requires social media firms to disclose their content moderation policies.
  • Critics argue that the provision might be constitutional.

Elon Musk-owned social media platform X (formerly Twitter) has obtained a ruling requiring it to get a preliminary injunction against California social media law. The court reversed the decision of a lower court which upheld the state’s regulation on social media companies. This comes amid a legal setback faced by the company in a recent case concerning the 2022 mass layoff. 

Elon Musk X To Seek Injunction 

The United States Court of Appeals for the Ninth Circuit in a recent ruling held that X can proceed to obtain a preliminary injunction against the California Social Media Anti-Hate Speech Law. The law that requires social media companies to disclose content moderation and anti-hate policies has been at the center of recent debates, Bloomberg wrote.

On one hand, the law seeks to protect social media users and citizens from abuse by checking the frameworks used by associated companies. Meanwhile, critics saw that it might be unconstitutional as some of its provisions are a stretch. The ruling comes against the judgment of the lower court on the law AB 587 in the case X Coro v Bonta.

Since he acquired Twitter, Elon Musk has been vocal on free speech and laws against censorship. This has placed the firm at loggerheads with regulators who aim to moderate speech citing the need to protect users. The recent ruling generated diverse reactions from X users with commentators giving divergent views in light of recent activities. 

Company Faces Legal Setback 

A US Court also ruled that about 150 older workers who were let go by X sequel to the Elon Musk takeover can file a class action age suit. The plaintiff John Zeman, a staff in the company’s communications department explained that 60% of employees affected were over 50 years of which a large percentage were above 60. 

Judge Susan Illston wrote that Zeman had shown how the company discriminated against older employees beyond mere speculation. “…Plaintiff has shown beyond mere speculation that Twitter may have discriminated against older employees in the November 4, 2022 (mass layoff), which constitutes a single decision that affected all members of the proposed class.”

Meanwhile, X launched a TV app which users tip to pose a competition to YouTube.

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Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

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About Author
About Author
David is a finance news contributor with 4 years of experience in Blockchain Technology and Cryptocurrencies. He is interested in learning about emerging technologies and has an eye for breaking news. Staying updated with trends, David reported in several niches including regulation, partnerships, crypto assets, stocks, NFTs, etc. Away from the financial markets, David goes cycling and horse riding.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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