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A Texas judge rules X’s libel lawsuit against Media Matters can proceed

A Texas judge denies Media Matters' request to dismiss X's lawsuit over alleged harmful content, allowing the case to proceed.

A Texas judge has ruled against Media Matters for America’s request to dismiss X’s lawsuit over claims of anti-semitic and racist content, allowing the case to proceed. On Thursday, Judge Reed O’Connor of the Northern District of Texas denied the media watchdog’s request, clearing the way for X to continue its legal battle against Media Matters.

Background of the lawsuit

Media Matters submitted its motion to dismiss in early March, arguing that the case lacked “personal jurisdiction,” was filed in an “improper venue,” and failed to “state a claim.” However, Judge O’Connor rejected all these arguments, according to court records.

The lawsuit, filed last year in federal court, seeks damages from Media Matters over what it describes as “maliciously manufactured” images. These images were reportedly used to show that X’s platform was placing neo-Nazi and white nationalist content next to advertisers’ images, causing many advertisers to withdraw their business from the site. While Media Matters asserts that the images were not fabricated, X claims that Media Matters’ aggressive focus on ad placement near racist content, allegedly using specific accounts to bypass ad filters, has caused significant damage to the social media company.

Elon Musk, the owner of X, also owns several other companies based in Texas. However, these companies are not directly related to the lawsuit against Media Matters. Earlier this month, X closed its San Francisco offices, and Musk announced plans to move X’s headquarters to Austin, Texas. This follows Tesla’s headquarters relocation from California to Texas in 2021 and SpaceX’s move from Delaware to Texas earlier this year after a judge dismissed a US$56 billion pay package from Delaware.

Despite these changes, Judge O’Connor’s decision to dismiss the “personal jurisdiction” argument was influenced by the fact that two of X’s significant advertisers, AT&T and Oracle, which were mentioned in Media Matters’ coverage, are based in Texas. He referred to a key 2002 internet defamation case, Revell v. Lidov, and the 5th Circuit Court of Appeals’ statement that if someone chooses to “pick a fight in Texas, it is reasonable to expect that it be settled there.”

The road ahead for X’s lawsuit

With Media Matters’ motion dismissed, X’s lawsuit will now move forward. This case highlights the ongoing tensions between the social media giant and media watchdog groups, particularly concerning how platforms manage and moderate content that could be seen as harmful or offensive. It remains to be seen how the court will handle the next stages of the lawsuit and what the potential outcomes could mean for both X and Media Matters.

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