{"id":20321,"date":"2020-06-04T11:53:42","date_gmt":"2020-06-04T11:53:42","guid":{"rendered":"https:\/\/www.publicknowledge.org\/?p=20321"},"modified":"2021-11-29T00:07:26","modified_gmt":"2021-11-29T00:07:26","slug":"breaking-down-and-taking-down-trumps-latest-proposed-executive-order-spanking-social-media","status":"publish","type":"post","link":"https:\/\/publicknowledge.org\/breaking-down-and-taking-down-trumps-latest-proposed-executive-order-spanking-social-media\/","title":{"rendered":"Breaking Down and Taking Down Trump\u2019s Latest Proposed Executive Order Spanking Social Media"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">Bashing social media for supposed liberal bias has become pretty standard fare for some conservative pundits and politicians. This remains true <\/span><a href=\"https:\/\/www.techdirt.com\/articles\/20200531\/02142744614\/new-study-finds-no-evidence-anti-conservative-bias-facebook-moderation-if-anything-opposite.shtml\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">despite zero evidence<\/span><\/a><span style=\"font-weight: 400;\"> of any kind of bias by social media companies against <\/span><a href=\"https:\/\/fbnewsroomus.files.wordpress.com\/2019\/08\/covington-interim-report-1.pdf?mod=article_inline\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">conservative content or Republican politicians<\/span><\/a><span style=\"font-weight: 400;\">. In fairness, Democratic political leaders have made similar accusations. For example, Speaker Nancy Pelosi (D-CA) has <\/span><a href=\"https:\/\/www.cnn.com\/2020\/01\/16\/tech\/pelosi-shameful-facebook\/index.html\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">accused Facebook<\/span><\/a><span style=\"font-weight: 400;\"> of \u201cschmoozing\u201d the Trump Administration and agreeing to \u201cmislead the American people\u201d in exchange for regulatory favors. Former Vice President Joe Biden has accused Mark Zuckerberg of <\/span><a href=\"https:\/\/www.nytimes.com\/interactive\/2020\/01\/17\/opinion\/joe-biden-nytimes-interview.html\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">knowingly collaborating<\/span><\/a><span style=\"font-weight: 400;\"> with Russia and North Korea to rig the election in 2016 for Donald Trump and to undermine Biden\u2019s own candidacy in the 2019-2020 campaign. It must be noted, however, that the only evidence we have of social media bias against an identity or ideological group, thus far, pertains to bias <\/span><a href=\"https:\/\/www.publicknowledge.org\/blog\/moderating-race-on-platforms\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">against African Americans<\/span><\/a><span style=\"font-weight: 400;\">.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Despite this slew of studies, President Trump in particular continues to press these claims loudly and frequently. It revs up the base and deters <\/span><a href=\"https:\/\/www.publicknowledge.org\/press-release\/public-knowledge-we-need-a-superfund-for-the-internet-to-fight-misinformation-online\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">needed content moderation<\/span><\/a><span style=\"font-weight: 400;\"> from the platforms. This tactic, according to the <\/span><a href=\"https:\/\/www.wsj.com\/articles\/facebook-knows-it-encourages-division-top-executives-nixed-solutions-11590507499\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Wall Street Journal<\/span><\/a><span style=\"font-weight: 400;\">,<\/span> <span style=\"font-weight: 400;\">has worked to scare Facebook off of its more effective proposals to combat disinformation since they would impact popular conservative speakers. This tactic tries to conflate \u201cconservative speech\u201d with protecting the civil rights of users on social media platforms. <\/span><a href=\"https:\/\/www.publicknowledge.org\/press-release\/public-knowledge-responds-to-white-house-proposal-to-require-ftc-fcc-to-monitor-speech-on-social-media\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Last August<\/span><\/a><span style=\"font-weight: 400;\">, the President threatened to go after the shield from liability for third-party content online services enjoy under Section 230 (<\/span><a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/47\/230\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">47 U.S.C. \u00a7230<\/span><\/a><span style=\"font-weight: 400;\">) as punishment for allegedly discriminating against conservatives and promoting liberals and Democrats. (You can read a boatload about Section 230 and what Public Knowledge thinks about<\/span> <span style=\"font-weight: 400;\">it <\/span><a href=\"https:\/\/www.publicknowledge.org\/tag\/section-230-series\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">here<\/span><\/a><span style=\"font-weight: 400;\">.) Trump\u2019s idea, as reported at the time, involved the Federal Communications Commission (FCC) issuing rules interpreting Section 230 as imposing an obligation of \u201cviewpoint neutrality\u201d (i.e., no fact checking the President or his allies), so that any sort of fact checking or other \u201ccensorship\u201d based on viewpoint would cost a company its liability shield.<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">At the time, I wrote a <\/span><a href=\"https:\/\/www.publicknowledge.org\/blog\/could-the-fcc-regulate-social-media-under-section-230-no\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">fairly lengthy blog<\/span><span style=\"font-weight: 400;\"> post<\/span><\/a><span style=\"font-weight: 400;\"> explaining why the FCC has no authority to do any such thing. Additionally, as I noted then, it would require the FCC to completely reverse everything it said in the \u201c<\/span><a href=\"https:\/\/www.fcc.gov\/document\/fcc-releases-restoring-internet-freedom-order\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Restoring Internet Freedom Order<\/span><\/a><span style=\"font-weight: 400;\">\u201d about how Section 230 prohibits the FCC from imposing any kind of <\/span><a href=\"https:\/\/www.publicknowledge.org\/issues\/net-neutrality\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">neutrality rules<\/span><\/a><span style=\"font-weight: 400;\"> and \u2013 in a crowning irony \u2013 re-impose net neutrality on ISPs because (since ISPs are no longer Title II telecommunications providers) they are \u201cinteractive service providers\u201d as defined by Section 230. Fortunately for everyone, Trump soon lost interest and the issue went away.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But now, thanks to <\/span><a href=\"https:\/\/www.vox.com\/recode\/2020\/5\/26\/21271210\/twitter-fact-check-trump-tweets-mail-voting-fraud-rigged-election-misleading-statements\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Twitter marking<\/span><\/a><span style=\"font-weight: 400;\"> two inaccurate and misleading Trump tweets about mail-in voting as inaccurate and misleading, Trump is apparently serious about it again. <\/span><a href=\"https:\/\/www.publicknowledge.org\/press-release\/public-knowledge-rejects-white-house-executive-order-targeting-free-speech-on-social-media-platforms\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Last week<\/span><\/a><span style=\"font-weight: 400;\"> he signed an \u201c<\/span><a href=\"https:\/\/www.whitehouse.gov\/presidential-actions\/executive-order-preventing-online-censorship\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Executive Order on Preventing Online Censorship<\/span><\/a><span style=\"font-weight: 400;\">\u201d which \u2013 when you strip away the rhetoric, basically requires three substantive things.<\/span><\/p>\n<ol>\n<li><span style=\"font-weight: 400;\">The National Telecommunications Information Administration (NTIA) will file a Petition for Rulemaking with the FCC to ask them to make rules interpreting Section 230 as being dependent on \u201cpolitical neutrality\u201d and maintaining themselves as a \u201cpublic forum\u201d without \u201cviewpoint discrimination.\u201d<\/span><\/li>\n<li><span style=\"font-weight: 400;\">The Administration will forward the 15,000 complaints from conservatives it collected since August 2019 to the Federal Trade Commission (FTC) to see if it should pursue any sort of enforcement action under Section 5 of the FTC Act (<\/span><a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/15\/45\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">15 U.S.C. 45<\/span><\/a><span style=\"font-weight: 400;\">) for \u201cdeceptively\u201d claiming to be neutral (see <\/span><a href=\"http:\/\/cdn.ca9.uscourts.gov\/datastore\/opinions\/2020\/02\/26\/18-15712.pdf\" target=\"_blank\" rel=\"noopener noreferrer\"><i><span style=\"font-weight: 400;\">Prager v. Google<\/span><\/i><\/a><span style=\"font-weight: 400;\">, citing Youtube\u2019s terms of service) when secretly discriminating against conservatives.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">The Order directs all federal agencies with advertising budgets that purchase advertising on social media platforms to report to the Office of Management and Budget within 30 days which platforms engage in \u201cviewpoint discrimination\u201d or other \u201cdeceptive\u201d practices and to withhold federal advertising dollars from these platforms.<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">Needless to say, this is <\/span><b><i>precisely<\/i><\/b><span style=\"font-weight: 400;\"> the worst case scenario the writers of the First Amendment had in mind \u2013 the President using the power of his office to punish those who criticize him and advantage his political faction.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">At the outset, what Trump seems to want is illegal. It&#8217;s unconstitutional, since it seeks to regulate companies based on their point of view. The interpretation of Section 230 that the EO puts forward has no support in the text of the statute, the legislative history, or any court decision. Briefly, the &#8220;good faith&#8221; requirement in 230(c)(2), which permits online platforms to remove any content they find &#8220;objectionable, whether or not such material is constitutionally protected&#8221; does not impose any requirement of viewpoint or political neutrality. Online platforms of all sizes &#8212; from a small neighborhood bulletin board to the largest social media sites &#8212; are free to use their own judgment in deciding what posts to moderate or take down. (Even if a platform was found to have acted in &#8220;bad faith&#8221; for a particular content removal, it would simply mean there was no liability shield <\/span><i><span style=\"font-weight: 400;\">for that particular removal<\/span><\/i><span style=\"font-weight: 400;\">.) Further, 230(c)(2) places no conditions whatsoever on 230(c)(1), which unconditionally states that an online service cannot be held liable as a publisher or speaker of third-party content that stays <\/span><i><span style=\"font-weight: 400;\">up<\/span><\/i><span style=\"font-weight: 400;\"> on the platform. There may be areas where we can debate whether Section 230 should be reformed. But the President can&#8217;t do it through an Executive Order (EO), and agencies that have no jurisdiction over the statute to begin with can&#8217;t change the statute through administrative action.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But others have covered these substantive issues in more depth. I want to cover the somewhat more geeky question of what happens next, how it works, and \u2013 the most asked question in America \u2013 who can sue about what.<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><b>How Does the FCC Process Work?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The FCC is an independent agency. Congress deliberately insulated it from direct control of the President in order to prevent the President from using it against political opponents and to ensure representation by both political parties. As events keep showing, this turned out to be a pretty smart move.<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">So the President can\u2019t just order the FCC to do something. By law (<\/span><a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/47\/902\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">47 U.S.C. \u00a7902(b)(2)(L)(i)<\/span><\/a><span style=\"font-weight: 400;\">), the NTIA acts as the interface between the Executive Branch and the FCC. Under the FCC\u2019s rules (<\/span><a href=\"https:\/\/www.ecfr.gov\/cgi-bin\/text-idx?SID=19faff20153aa6978795c10561449b2b&amp;mc=true&amp;node=se47.1.1_1401&amp;rgn=div8\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">47 C.F.R. \u00a71.401<\/span><\/a><span style=\"font-weight: 400;\">), anyone can file a Petition for Rulemaking or Petition for Declaratory Ruling (<\/span><a href=\"https:\/\/www.ecfr.gov\/cgi-bin\/text-idx?SID=19faff20153aa6978795c10561449b2b&amp;mc=true&amp;node=se47.1.1_12&amp;rgn=div8\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">47 C.F.R. \u00a71.2<\/span><\/a><span style=\"font-weight: 400;\">). The EO orders NTIA to file a Petition for Declaratory Ruling by Wednesday, July 27 asking the FCC to clarify that doing stuff contrary to the \u201cpurpose\u201d of Section 230 as defined in the EO makes you lose the liability shield promised by Section 230. Since I\u2019m primarily interested in process here, I won\u2019t go into the rather tortuous legal reasoning for how this is supposed to work. Suffice it to say the NTIA (after consulting with the Attorney General) is supposed to file a Petition for the FCC to interpret Section 230 the way Trump wants and issue rules to enforce this interpretation.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This part is perfectly legal. Nothing stops the NTIA from filing a Petition with the FCC asking it to do anything arguably within the FCC\u2019s jurisdiction. If the President orders NTIA to file a Petition with the FCC declaring that every hour broadcasters will include with their station identification \u201cTrump is the best President ever\u201d or that your cell phone start up screen has to say \u201cMAGA \u2013 Republicans Rule Democrats Drool\u201d they can Petition for that. Because anyone can file a Petition and those things are arguably in the FCC\u2019s jurisdiction. It does not matter if they are silly, or if the FCC might not have the authority to actually grant the Petition.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Next, the FCC puts the Petition on Public Notice<\/span><span style=\"font-weight: 400;\">. It\u2019s important to know that this is usually a semi-automatic process and doesn\u2019t imply anything one way or the other about what the FCC intends to do. Generally, the Petition is referred to the relevant Bureau (not sure what it would be in this case), given a docket number (usually starting with RM, for \u201cRule Making,\u201d but sometimes given a standard docket number if it is a matter of broad interest), and then released as part of the FCC\u2019s daily business as a Public Notice (PN), usually saying \u201cthe following Petition for Rulemaking was filed by ___ on [date]. Comments may be filed by [30 days from release of PN], reply comments [15 days later]. These numbers can be changed. But again, this is pretty standard.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It is true that on rare occasions the Commission will intervene and simply sit on a Petition. It is also true that the Commission can move right to a Notice of Proposed Rulemaking in response to the Petition and issue that. But these are relatively rare and I would not expect those here on such a complicated and controversial issue. Also, as a political matter (more on that below), it works better to go the usual route and issue a standard PN relatively soon after NTIA files.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Public Comment Cycle<\/span><span style=\"font-weight: 400;\">. Once the FCC issues the PN and assigns a docket number, interested parties\/members of the public can file comments with the FCC through the Electronic Comment Filing System (ECFS). This, of course, is where the fun really begins. In theory, parties file on the comment date and reply date. But in reality, the FCC designates these proceedings as \u201cpermit but disclose,\u201d meaning you can file with the FCC and meet with FCC officials right up until the FCC is ready to make a decision.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">What happens after public comment cycle closes<\/span><span style=\"font-weight: 400;\">? Most Petitions for Rulemaking never go any further than getting a docket number. Eventually, the FCC closes them out when they do a review of stale proceedings. But if the FCC wants to do something, it will issue a Declaratory Ruling that Section 230 works the way the President wants (or, if the FCC does this in a new Administration, a ruling that it does not have jurisdiction to issue rules under Section 230). Assuming they find for the President, the FCC will simultaneously issue either (a) rules implementing the Declaratory Ruling based on the Petition; or, (b) a Notice of Proposed Rulemaking about such rules.<\/span><\/p>\n<p><b>Immediate Impact Will Not Produce New Rules, But Will Potentially Have Huge Political Impact and Stifle Platform Efforts to Combat Election Disinformation.<\/b><\/p>\n<p><span style=\"font-weight: 400;\">If the NTIA and the FCC stick to the anticipated schedule, the NTIA will file on July 27. The FCC will drop its PN sometime in the middle or end of August. This will make Comments due in mid-late September, with replies due in early-mid October. The observant among you will note that this just happens to coincide with when election season will be going full throttle and Trump will be looking for ways to rally his base.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">While this is purely speculation, I would suggest this is not coincidence. It is an excellent way to intimidate social media companies from doing anything that might stoke backlash from conservatives that would translate into mass public comments (aka \u201cworking the ref\u201d). Of course, the President and his allies will organize his base to file comments anyway, but it is still likely to make companies very reluctant to fact check or otherwise \u201ccensor\u201d the President and Republican candidates at peak election time; <\/span><i><span style=\"font-weight: 400;\">i.e.<\/span><\/i><span style=\"font-weight: 400;\"> just when the dirty tricks and disinformation are most likely to ramp up and when we most need social media companies to step up their game fighting election-related misinformation and disinformation.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Besides, after spending four years packing the bench with loyal judges, it\u2019s worth a shot.<\/span><\/p>\n<p><b>How Does the FTC Process Work?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The EO also states that the White House will forward the complaints it received through the <\/span><a href=\"https:\/\/thehill.com\/policy\/technology\/443934-white-house-launches-tool-for-reporting-social-media-bias\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">tech bias reporting tool<\/span><\/a><span style=\"font-weight: 400;\"> it launched last year to the FTC to investigate whether social media companies have behaved in an \u201cunfair or deceptive\u201d manner under <\/span><a href=\"https:\/\/www.law.cornell.edu\/uscode\/text\/15\/45\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Section 5<\/span><\/a><span style=\"font-weight: 400;\"> of the Federal Trade Commission Act. Again, anyone can file a complaint with the FTC over anything, so this action in and of itself doesn\u2019t do anything. The FTC will then consider the complaint, which is something of a black box. Most complaints to the FTC not only go nowhere, you never hear about them ever again. This is one of many reasons people have <\/span><a href=\"https:\/\/www.cnet.com\/news\/government-watchdog-finds-weak-enforcement-in-us-privacy-regulations\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">become critical<\/span><\/a><span style=\"font-weight: 400;\"> of the FTC and accused it of <\/span><a href=\"https:\/\/www.washingtonpost.com\/letter-to-the-federal-trade-commission-from-sen-josh-hawley\/b0a472ac-82bb-4942-aeb3-46f121ab9761_note.html?questionId=d10e8794-be00-4f4b-878b-5538779adfbd\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">being toothless<\/span><\/a><span style=\"font-weight: 400;\"> on consumer protection.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Assuming the FTC investigates however, it has a number of hurdles to overcome before it can bring a complaint. First, as anyone who has ever tried to read the terms of service of a social media provider (or any other online service for that matter) knows, these things are super-lawyered to give the companies lots of cover. So even if they say up front, \u201cWe totally love free speech and open debate and create a forum where <\/span><a href=\"https:\/\/en.wikipedia.org\/wiki\/Hundred_Flowers_Campaign\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">a 100 flowers bloom<\/span><\/a><span style=\"font-weight: 400;\">,\u201d the next 30 pages of fine print explain how the company can still take down whatever it wants, censor whatever it wants, do whatever it wants, and you have zero right to expect anything based on these terms of service, have a nice day. The FTC can also try to show that any supposed \u201ccensorship\u201d is \u201cunfair\u201d rather than deceptive, but the burden of showing something is unfair to consumers is fairly high due to Section 5(n) and the narrow way courts have interpreted it. Basically, unless you can show monetary damages, it has gotten very hard to prove to a court that a company\u2019s actions are \u201cunfair\u201d to consumers. As a consumer advocate, I am not happy about this, but that is how things are unless Congress changes the law.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But even after all that, you still have Section 230 and its liability shield. While Section 230 does not provide a shield from any federal criminal law, it does shield providers from civil liability (assuming it applies in the first place). For the FTC to find social media providers liable for civil penalties for unfair or deceptive practices under Section 5, a court would need to accept the President\u2019s interpretation in the Executive Order \u2013 an interpretation that courts have universally rejected. No court has found that the liability shield of Section (c)(1) and (c)(2) are interlinked and dependent on each other. To the contrary, every court that has considered the question has found these two provisions separate and independent grounds for liability immunity. Courts have also universally rejected the claim that any sort of filtering, editing, labeling, or fact checking of third party content voids the liability shield of Section (c)(2) by making the interactive service provider an author\/creator of the content.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Finally, while I am personally a big fan of the <\/span><a href=\"https:\/\/wetmachine.com\/tales-of-the-sausage-factory\/packingham-and-the-public-forum-doctrine-part-i-implications-for-copyright\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">public forum doctrine<\/span><\/a><span style=\"font-weight: 400;\"> invoked by the EO, and I believe (as I wrote in <\/span><a href=\"https:\/\/www.amazon.com\/Case-Digital-Platform-Act-Regulation\/dp\/107525079X\" target=\"_blank\" rel=\"noopener noreferrer\"><i><span style=\"font-weight: 400;\">The Case for the Digital Platform Act<\/span><\/i><\/a><span style=\"font-weight: 400;\">) that based on <\/span><a href=\"https:\/\/en.wikipedia.org\/wiki\/Pruneyard_Shopping_Center_v._Robins\" target=\"_blank\" rel=\"noopener noreferrer\"><i><span style=\"font-weight: 400;\">Pruneyard Shopping Center v. Robbins<\/span><\/i><\/a><i><span style=\"font-weight: 400;\">, <\/span><\/i><span style=\"font-weight: 400;\">Congress could pass laws protecting and enhancing the \u201cpublic forum\u201d nature of social media, but <\/span><b><i>courts have rejected the idea that social media services are intrinsically a public forum<\/i><\/b><span style=\"font-weight: 400;\">. The Ninth Circuit considered and rejected this argument just a few months ago in <\/span><a href=\"https:\/\/cdn.ca9.uscourts.gov\/datastore\/opinions\/2020\/02\/26\/18-15712.pdf\" target=\"_blank\" rel=\"noopener noreferrer\"><i><span style=\"font-weight: 400;\">Prager University v. Google<\/span><\/i><span style=\"font-weight: 400;\">.<\/span><\/a><span style=\"font-weight: 400;\"> So once again, I have great difficulty seeing the FTC pursuing an enforcement action here, and if they did I can\u2019t see it winning.<\/span><\/p>\n<p><b>Once Again, It\u2019s More About Working the Ref Than Winning the Case.<\/b><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Given the long odds of the FTC bringing a case, let alone winning one, why bother? Once again, it doesn\u2019t cost President Trump anything to try (although it costs the taxpayers a bundle). Furthermore, investigations can be used to harass companies. The FTC can depose company officers and ask all kinds of pointed questions about their supposed political biases, demand expensive discovery production, tie up lots of company lawyers. It can then just drop the matter, then start the whole thing over again the next time Trump wants to \u201csend a message\u201d to a social media provider (and the industry generally) to dance to his tune.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Sure, these are (mostly) big companies that can handle the cost (although there are a bunch of little guys out there like Dreamwidth who would get crushed fairly easily if Trump wanted to make an example of someone). But even for the big companies, no executive likes getting deposed and cross-examined. Investigations create regulatory overhang that can depress stock value. It is one more way of \u201cworking the ref\u201d and making companies feel uncomfortable about taking any action that might anger Trump, powerful Republicans, or popular conservative pundits &#8212; especially during the lead up to the 2020 election.<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Additionally, and just as important, prosecutions for political purposes undermine the legitimacy of genuine cases that agencies should bring. Even threats to use legal investigations as a tool of harassment undermine efforts by agencies to enforce the law when required. For example, when the Department of Justice <\/span><a href=\"https:\/\/www.publicknowledge.org\/press-release\/public-knowledge-supports-doj-lawsuit-against-108-billion-att-time-warner-merger\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">brought an antitrust action<\/span><\/a><span style=\"font-weight: 400;\"> to block the AT&amp;T\/TW merger, <\/span><a href=\"https:\/\/money.cnn.com\/2018\/09\/20\/media\/att-doj-appeal-brief\/index.html\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">AT&amp;T argued in court<\/span><\/a><span style=\"font-weight: 400;\"> that the case was a political vendetta over CNN\u2019s often critical coverage of the President. While the district court rejected this challenge, it placed <\/span><a href=\"https:\/\/www.reuters.com\/article\/us-time-warner-m-a-at-t\/trumps-cnn-attacks-may-hobble-legal-case-to-block-att-time-warner-deal-idUSKBN1D92HF\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">a cloud<\/span><\/a><span style=\"font-weight: 400;\"> over the legitimacy of the investigation. Even if the FTC never brings an action as a result of the EO, this potentially undermines the legitimacy of any future antitrust or Section 5 enforcement action against giant social media companies as being driven by vindictiveness rather than by merit, even though such enforcement actions may be sorely needed.\u00a0<\/span><\/p>\n<p><b>How Does the Business With Political Advertising Work?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">The final piece of the EO may actually have some direct near term impact on social media companies\u2019 bottom line. The Order basically says that the federal government won\u2019t spend advertising dollars on social media platforms that Trump thinks engage in \u201cviewpoint discrimination\u201d or other \u201ccensorship\u201d or \u201cdeceptive practices.\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Generally, the federal government has broad discretion on how it spends money as a purchaser of goods and services, and can use that power to promote policies and social goals. For example, federal contracts generally contain a provision prohibiting discrimination based on sexual orientation, even in states that permit discrimination based on sexual orientation. Additionally, on the surface, the idea makes sense. We would not want federal advertising dollars supporting services that support racism or promote violence, for example. Under <\/span><a href=\"https:\/\/www.scotusblog.com\/case-files\/cases\/walker-v-texas-division-sons-of-confederate-veterans-inc\/\" target=\"_blank\" rel=\"noopener noreferrer\"><i><span style=\"font-weight: 400;\">Walker v. TX Division, Sons of the Confederacy, Inc.<\/span><\/i><\/a><span style=\"font-weight: 400;\"> the government has discretion to control government speech (such as advertising) and can therefore, in theory at least, withhold it to promote specific policy goals.<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But there are limits. The big one here is something called the \u201c<\/span><a href=\"https:\/\/www.merriam-webster.com\/legal\/unconstitutional%20conditions%20doctrine\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">unconstitutional condition<\/span><\/a><span style=\"font-weight: 400;\">\u201d doctrine. Basically, if the Constitution prohibits the government from directly limiting a constitutional right, the government cannot indirectly limit that right by making a benefit contingent on waiving that right. This gets particularly tricky in the speech area. For example, in <\/span><a href=\"https:\/\/www.merriam-webster.com\/legal\/unconstitutional%20conditions%20doctrine\" target=\"_blank\" rel=\"noopener noreferrer\"><i><span style=\"font-weight: 400;\">Rumsfeld v. Forum for Academic and Institutional Rights<\/span><\/i><\/a><i><span style=\"font-weight: 400;\">,<\/span><\/i><span style=\"font-weight: 400;\"> the Court found that it was okay for Congress to require any school that received federal funding to give equal access to military recruiters that it gave to any other employer and this did not constitute \u201cforced speech.\u201d But in <\/span><a href=\"https:\/\/www.supremecourt.gov\/opinions\/16pdf\/15-1293_1o13.pdf\" target=\"_blank\" rel=\"noopener noreferrer\"><i><span style=\"font-weight: 400;\">Matal v. Tam<\/span><\/i><\/a><span style=\"font-weight: 400;\">, the Court found that it violated the First Amendment to condition grant of trademark protection on whether or not the term or image sought to be trademarked was offensive.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In this case, you have a pretty standard problem for the Trump Administration. They said the quiet part out loud. Even in the EO, you can\u2019t get away from the very specific targeting of Twitter for flagging the President\u2019s tweets. This makes it very hard to pretend that this is about promoting diversity of views and dissemination of news from diverse and antagonistic sources \u2013 \u201c<\/span><a href=\"https:\/\/scholar.google.com\/scholar_case?case=11296061782551033984&amp;hl=en&amp;as_sdt=6&amp;as_vis=1&amp;oi=scholarr\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">a government purpose of the highest order<\/span><\/a><span style=\"font-weight: 400;\">\u201d \u2013 rather than the presidential revenge scenario the First Amendment tries to prevent. (Indeed, by name checking the companies, the President arguably creates a <\/span><a href=\"https:\/\/en.wikipedia.org\/wiki\/Bill_of_attainder\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Bill of Attainder<\/span><\/a><span style=\"font-weight: 400;\"> problem, but that is a digression for another time.)<\/span><\/p>\n<p><b>So Who Gets to Sue to Stop It and When?<\/b><\/p>\n<p><span style=\"font-weight: 400;\">That\u2019s an excellent question. <\/span><a href=\"https:\/\/cdt.org\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">The Center for Democracy and Technology<\/span><\/a><span style=\"font-weight: 400;\"> has already <\/span><a href=\"https:\/\/www.reuters.com\/article\/twitter-trump-lawsuit\/center-for-democracy-and-technology-files-lawsuit-against-trumps-executive-order-on-social-media-idUSL1N2DF1IE\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">sued to block the entire EO<\/span><\/a><span style=\"font-weight: 400;\">. CDT faces two main obstacles to getting a hearing on the merits: standing and ripeness. Standing is the legal doctrine that requires a party to have a \u201cparticularized interest\u201d in the matter at issue distinct from the general interest of the public in seeing a law enforced or right protected, that is, a \u201creal, non-hypothetical injury in fact, arguably redressable by an order from the court.\u201d\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">CDT makes the argument that as subscribers and users of social media, they are impacted by the chilling effect of the Executive Order. While this impacted class is large, \u201csubscribers of social media\u201d is sufficiently different from the general public to probably qualify. The hardest challenge to overcome is that the impact to CDT is likely to be considered too \u201cremote\u201d and \u201cspeculative\u201d under current standing doctrine. The Supreme Court has previously held that fear of impacts based on how government action will impact a third party are too speculative to confer standing. <\/span><i><span style=\"font-weight: 400;\">See <\/span><\/i><a href=\"https:\/\/www.insideprivacy.com\/united-states\/supreme-court-rejects-standing-to-challenge-fisa-surveillance-in-clapper\/\" target=\"_blank\" rel=\"noopener noreferrer\"><i><span style=\"font-weight: 400;\">Clapper v. Amnesty International USA<\/span><\/i><\/a><span style=\"font-weight: 400;\"> (unwillingness to talk to foreign clients by phone for fear that intelligence agencies may monitor phone calls too speculative and remote for standing purposes). On the other hand, the courts are often more charitable to the potential \u201cchilling effect\u201d on free expression as an injury than in other cases. So while I would put the odds against CDT, it is hardly a slam dunk.<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The companies themselves certainly have standing to sue, either directly or through their trade associations. Here, however, you run into the problem of <\/span><a href=\"https:\/\/en.wikipedia.org\/wiki\/Ripeness\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">ripeness<\/span><\/a><span style=\"font-weight: 400;\">. Under this doctrine, courts won\u2019t hear a case that depends on something too hypothetical happening in the indefinite future. After all, the bad thing might never happen, and the court can\u2019t really evaluate the circumstances based on something that might possibly happen but hasn\u2019t actually happened yet.<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Here, the actions that flow from the EO that potentially cause the harm are pretty far off and hypothetical because they are committed to agency discretion. The FCC may not put the NTIA Petition out for public comment, and even if it does it might either do nothing or deny it. The FTC may or may not choose to investigate. Even the advertising review is uncertain, since the agencies could conclude that all the social media services they purchase advertising from behave appropriately and in compliance with federal policies. This makes it very easy for a court to say: \u201csure, even if you have standing, nothing has really happened yet. Come back when agencies actually <\/span><i><span style=\"font-weight: 400;\">do<\/span><\/i><span style=\"font-weight: 400;\"> something.\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But once again, we have this idea of \u201cchilling effects\u201d on speech. Courts recognize that when it comes to behavior, people don\u2019t like to get arrested or have their advertising dollars or liability shields threatened. In such cases, the mere threat to take action may make the matter sufficiently ripe to seek a court order declaring the Administration\u2019s actions unconstitutional. I normally would not give this much chance, but the egregious conduct by the Administration (and the enthusiastic cheerleading by at least <\/span><a href=\"https:\/\/www.politico.com\/news\/2020\/06\/02\/trump-tech-fight-fcc-295422\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">one FCC Commissioner<\/span><\/a><span style=\"font-weight: 400;\">) make the \u201cchilling effect\u201d\/intimidation argument stronger than usual.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Even if parties have to wait, however, they will certainly get their day in court if the agencies press forward. Participants in an FCC proceeding who can show standing can sue, and demonstrating injury for social media subscribers will be easier if there are rules in place governing how social media services must behave. The subjects of any FTC investigation and complaint will certainly have the right to defend themselves in court, and companies that suffer any loss of advertising dollars can challenge that decision in court under the unconstitutional condition doctrine.<\/span><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><b>Conclusion<\/b><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">On the one hand, we shouldn\u2019t expect any immediate legal consequences from the President\u2019s Executive Order. The primary short-term impacts will likely be political rather than legal. That doesn\u2019t excuse what amounts to a blatant assault on the First Amendment for naked political advantage. Furthermore, although Twitter, at least <\/span><a href=\"https:\/\/www.washingtonpost.com\/nation\/2020\/05\/29\/trump-minneapolis-twitter-protest\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">appears at the moment<\/span><\/a><span style=\"font-weight: 400;\"> to be willing to stay the course on <\/span><a href=\"https:\/\/www.nytimes.com\/2020\/06\/01\/technology\/twitter-matt-gaetz-warning.html\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">flagging tweets<\/span><\/a><span style=\"font-weight: 400;\"> that violate its policies, we should expect that social media companies will find it difficult to stand up to the pressure in the long run.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">So what can concerned members of the public do? First, even supporters of Section 230 reform should make it clear that the President\u2019s Executive Order is not a welcome way to move forward &#8212; as suggested by FCC Commissioner Carr &#8212; but a cynical hack of our legal and regulatory systems by the President of the United States, to the detriment of the First Amendment and the general legitimacy of the Rule of Law. We cannot forget that this Executive Order was brought on because the President was rightly called out for spreading voting misinformation. We must not overlook that point as it is crucial to how truly cynical and harmful what the President is attempting to do is, and how it strikes at fundamental rights of participation in our democracy. We cannot regard this as excusable, trivial, or harmless.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Second, assuming NTIA files a Petition and the FCC puts it on public notice, we must have widespread public pushback. Politicians and social media companies alike need to see that the American people are not dupes, nor willing to tolerate turning the Rule of Law into a protection racket for whoever holds the White House. Republicans as well as Democrats should fear what happens if we allow the President to brazenly weaponize the machinery of justice through jaded silence and cynical acquiescence.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Bashing social media for supposed liberal bias has become pretty standard fare for some conservative pundits and politicians. This remains true despite zero evidence of any kind of bias by social media companies against conservative content or Republican politicians. In fairness, Democratic political leaders have made similar accusations. For example, Speaker Nancy Pelosi (D-CA) has [&hellip;]<\/p>\n","protected":false},"author":14,"featured_media":0,"parent":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[5],"tags":[11,13,14],"class_list":["post-20321","post","type-post","status-publish","format-standard","hentry","category-insights","tag-content-moderation","tag-net-neutrality","tag-platform-regulation"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.5 (Yoast SEO v26.5) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Breaking Down and Taking Down Trump\u2019s Latest Proposed Executive Order Spanking Social Media - Public Knowledge<\/title>\n<meta name=\"description\" content=\"Public Knowledge promotes freedom of expression, an open internet, and access to affordable communications tools and creative works. 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