TikTok ban case to be heard by Supreme Court

The Supreme Court agreed Wednesday to hear arguments that a law that would effectively ban TikTok if its parent company does not sell the popular social media app violates free speech protections under the U.S. Constitution.

The Supreme Court has scheduled oral arguments in the case for January 10. That is, nine days before the entry into force of the law targeting the application, which is used by approximately 170 million Americans.

The law would force TikTok's Chinese parent company, ByteDance, to sell the app or force Google, Apple and other platforms to stop supporting the app in the United States.

Congress passed the law, the Foreign Adversary Controlled Applications Act, due to concerns that TikTok's Chinese ownership poses a national security risk.

The United States Court of Appeals for the District of Columbia Circuit upheld the law on December 6, ruling that the DOJ had “presented compelling evidence demonstrating that 'the Divestment Act' is narrowly tailored to protecting national security”.

The Supreme Court said Wednesday it would hear challenges to the law filed jointly by TikTok and ByteDance, as well as a group of TikTok users.

These users include a rancher who produces short videos about agricultural issues, a woman who creates videos about parenting and mental health, and another woman who advocates for survivors of sexual assault.

TikTok spokesperson Michael Hughes said: “We are pleased with today’s order from the Supreme Court. We believe the Court will declare TikTok's ban unconstitutional so that the more than 170 million Americans on our platform can continue to exercise their right to free speech.

The company claims that if the app were banned, U.S. small businesses that use TikTok for marketing would lose more than $1 billion in revenue in the month following the ban, and people who create videos with it the application would lose nearly $300 million in revenue.

The Supreme Court's announcement Wednesday that it will hear TikTok's appeal comes two days after the company filed a petition seeking an injunction against the law that takes effect next month.

In that request, TikTok had said: “Congress's unprecedented attempt to isolate candidates and ban them from operating one of this country's most important speech platforms presents serious constitutional problems that this court will not allow.” probably not to solve.”

The Supreme Court's order granting a hearing on the appeal ordered lawyers for TikTok and ByteDance, the app's users and the Justice Department to submit briefs and debate whether the law applied to TikTok “violates the First Amendment” of the Constitution. .

But the court did not issue an injunction blocking the entry into force of the law, affirming that it was adjourning the examination of this request “pending the pleading” of January 10.

The court could rule on the injunction before the law takes effect on Jan. 19, a day before President-elect Donald Trump takes office.

Trump met with TikTok CEO Shou Zi Chew at the Trump Mar-a-Lago club in Palm Beach, Florida, on Monday, the same day the company asked the Supreme Court to take up his case.

Earlier in the day, Trump told reporters, “We're going to take a look at TikTok,” when asked about the potential ban.

“You know, I have a tenderness in my heart for TikTok,” Trump said, suggesting the app boosted his support among young voters in the November election.

Jeff Yass, a top Trump backer, is the co-founder and chief executive of Susquehanna International Group, a major investor in ByteDance.

A lawyer for Sen. Mitch McConnell of Kentucky, leader of the Republican caucus, objected Wednesday to the request for an emergency injunction against the law.

“TikTok clearly hopes that” the new Trump administration “will be more sensitive to its plight than” President Joe Biden’s administration, the filing says.

“In other words, the important point” of the injunction request is the delay, argued McConnell lawyer Michael Fragoso.

Fragoso said TikTok's “First Amendment arguments are baseless and ill-founded.”

“Although forced surrender may cause them irreparable harm, any delay caused by an injunction would be contrary to the public interest,” Fragoso wrote.

“This is classic litigation at the end of an administration, in which a petitioner hopes that the next administration will grant a stay of execution,” the attorney wrote. “This Court should no more accept that it comes from foreign adversaries than from hardened criminals.”

CNBC's Lora Kolodny contributed to this article.

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