In a significant ruling, the 5th U.S. Circuit Court of Appeals has halted Elon Musk’s social media platform, X, from obtaining donor information from Media Matters as part of its ongoing defamation lawsuit. The court expressed skepticism about the necessity of this information for X’s case, suggesting that it could lead to harassment or intimidation of Media Matters and its supporters.
The decision comes after a Texas federal judge previously ordered the disclosure of donor identities, a ruling now paused while Media Matters appeals. The appellate panel stated, “We doubt that X Corp. needs the identity of Media Matters’s every donor, big or small, to advance its theories,” emphasizing concerns over potential repercussions for those involved.
X initiated the lawsuit in November, accusing Media Matters of damaging its relationships with advertisers through alleged defamatory practices. The company claims that Media Matters “knowingly and maliciously” paired images of major advertisers with neo-Nazi content, prompting some to withdraw their advertising spend on the platform.
Media Matters, based in Washington, D.C., has dismissed the lawsuit as meritless, asserting that it merely reported on extremism present on X. The organization argues that truthful reporting cannot constitute business disparagement.
U.S. District Judge Reed O’Connor had previously ruled in August that X could proceed with its lawsuit. X contends that access to Media Matters’ donor information is essential to demonstrate any potential bias against Musk and his ventures.
In its appeal, Media Matters highlighted that the lower court’s order infringes upon the First Amendment rights of its donors, marking a pivotal moment in this high-profile legal battle.
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