Judge Blocks FTC Investigation into Media Matters over First Amendment Violation
A federal judge has issued an injunction against the Federal Trade Commission (FTC) investigation into Media Matters, a media nonprofit, following its legal dispute with Elon Musk’s company, X.
Judge Sparkle L. Sooknanan of the US District Court for DC argued that the case constitutes a First Amendment violation and appears to be a retaliatory act. Such actions should alarm citizens when the government retaliates against individuals or organizations involved in constitutionally protected public debate, she stated.
In May, the FTC launched an investigation into Media Matters, examining allegations of illegal collusion with advertisers. The probe followed lawsuits filed by X against Media Matters over research published in November 2023 claiming that ads from high-profile companies were appearing alongside antisemitic and offensive content on Twitter after Elon Musk’s acquisition.
The Media Matters research followed a series of reports about advertisers leaving the platform due to controversial changes implemented by Musk, including reduced content moderation and the sale of verified status on the social network.
Musk and X argued that organizations like Media Matters and advertisers themselves were responsible for the platform’s issues rather than the changes made. X also sued a nonprofit ad group representing over 150 brands and more than 60 advertiser associations for ceasing advertising with the company.
Judge Sooknanan’s ruling on Friday stated that the FTC case appears politically motivated, with the sweeping civil investigative demand (CID) issued to Media Matters by FTC Chairman Andrew Ferguson “coming as no surprise.” The judge pointed out that before being appointed to lead the FTC, Ferguson had appeared on Steve Bannon’s podcast, where he expressed a desire for the FTC to investigate under President Trump’s administration due to concerns about “progressives” and others fighting disinformation.
Ferguson also brought several senior staffers from the FTC who had previously made public comments about Media Matters onto his team. Prior to the FTC investigation, the Republican attorneys general of Missouri and Texas issued CIDs of their own to Media Matters, seemingly at the behest of Steven Miller, the current White House Deputy Chief of Staff. These were preliminarily enjoined in court as likely being retaliatory violations of the First Amendment.
In conclusion, “Media Matters engaged in quintessential First Amendment activity when it published an online article criticizing Musk and X,” the judge concluded. “And the Court finds that the FTC’s expansive CID is a retaliatory act. There can be no doubt that such a CID would deter a journalist of ordinary firmness from speaking again.”
Angelo Carusone, Chairman and President of Media Matters, commented that the ruling “demonstrates the importance of standing one’s ground in the face of intimidation from the Trump administration.” He added, “This case is not just about the campaign to punish and silence Media Matters; it is a critical test for whether the courts will allow any administration—from any political party—to bully media and non-profit organizations through illegal abuses of power. We will continue to fight for the First Amendment rights that protect every American.”
Musk also sued the Center for Countering Digital Hate (CCDH) over claims it failed to address racist, homophobic, and antisemitic tweets on Twitter, although this lawsuit was dismissed in March.
