A U.S. judge has dismissed X’s challenge to a New York law requiring large social media companies to disclose how they address hate speech, extremism, harassment and disinformation. The ruling is a setback for Elon Musk’s company in its effort to overturn the disclosure requirements.
A U.S. judge has dismissed a lawsuit brought by Elon Musk’s social media platform X challenging a New York law that requires large social media companies to disclose how they monitor and address harmful content.
U.S. District Judge John Cronan in Manhattan ruled on Wednesday that the Stop Hiding Hate Act does not violate the First Amendment, rejecting X’s argument that the law improperly interferes with the platform’s constitutional rights.
The New York law requires social media companies generating more than $100 million in annual revenue to disclose their policies and practices for addressing hate speech, extremism, harassment, disinformation and foreign political interference.
X had argued that the requirements exposed the company to potential lawsuits and financial penalties over disclosures involving controversial speech.
Cronan rejected that argument, finding that the law primarily requires platforms to provide factual information about their content moderation policies. The judge compared the disclosures to other forms of consumer information that businesses are required to provide.
The law, signed by New York Governor Kathy Hochul in December 2024, allows civil penalties of up to $15,000 per violation per day, according to Reuters.
New York Attorney General Letitia James has defended the legislation as a way to give consumers more information about how social media platforms operate without dictating what content they can publish.
The ruling represents a legal setback for X, which has frequently challenged government efforts to regulate its content moderation practices under Musk's ownership.
Musk acquired Twitter for $44 billion in 2022 and subsequently renamed the platform X. The company has significantly changed its approach to content moderation since the acquisition.
X and Musk's representatives did not immediately respond to requests for comment on the ruling, according to Reuters.
The case highlights the continuing legal debate in the United States over how far states can go in requiring social media companies to disclose information about their content-moderation policies while respecting First Amendment protections.
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