Brazil Court: Social Media Firms Face Liability for User Content

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BRASILIA, Brazil – In a decision that could reshape online content regulation across Latin America and influence international tech policy, Brazil’s Supreme Court has ruled that social media companies can be held liable for illegal content posted by their users.

The court consolidated two cases addressing the surge in online fraud, child exploitation, and teenage violence. While proponents argue this measure is vital for public safety, critics raise concerns about potential infringements on free speech due to preemptive content removal by platforms.

Justice Gilmar Mendes became the sixth justice, out of eleven, to support the ruling, paving the way for lawsuits and fines against tech giants like Meta, X, and Microsoft for user-generated content. A simple majority is sufficient for the measure to pass.

This decision arrives amidst warnings from U.S. officials, including Secretary of State Marco Rubio, regarding potential visa restrictions for foreign individuals allegedly involved in censoring American citizens. Brazilian Justice Alexandre de Moraes, who has taken action against social media platforms for non-compliance with Brazilian law, is reportedly among those under scrutiny.

Justice André Mendonça was the sole dissenting voice, emphasizing the importance of free speech on social media for holding powerful institutions, including governments and digital platforms, accountable.

Justice Flávio Dino highlighted the role of social media in recent school shootings, citing disturbing online posts that fueled the violence. He voiced concerns about social media’s impact on humanity.

The ruling will become law upon completion of the voting process and official publication. However, the Brazilian Congress retains the power to overturn the measure through new legislation.

Current Brazilian law only holds social media companies accountable if they fail to remove harmful content after a court order.

Public discussions on social media regulation intensified following the January 8, 2023, riots in Brasilia, where supporters of former President Jair Bolsonaro attacked government buildings.

According to Alvaro Palma de Jorge, a law professor at the Getulio Vargas Foundation, platforms must proactively regulate content instead of waiting for court orders.

This decision aligns Brazil with the European Union’s approach to regulating big tech, aiming to curb the power of social media companies.

The Brazilian Chamber of Digital Economy, representing digital economy sectors, warns that automatic liability could stifle free speech and favor larger companies with extensive legal resources, potentially harming smaller, national players and innovation.