TikTok's Legal Battle Intensifies as Biden Signs Bill Setting Divestiture Deadline

Kaylee Everhart

Updated Saturday, April 27, 2024 at 11:20 AM CDT

TikTok's Legal Battle Intensifies as Biden Signs Bill Setting Divestiture Deadline

In a significant escalation of the ongoing technological tug-of-war between the United States and China, President Joe Biden has signed a groundbreaking bill that could potentially lead to the sale of the popular social media app TikTok. Erich Andersen, the general counsel for TikTok and its Chinese parent company ByteDance, is poised to take on the role of special counsel in June, with a focus on contesting U.S. efforts to force a divestiture of the app.

The legislation, signed by President Biden, sets a stringent 270-day deadline for ByteDance to divest TikTok in the United States, with the aim of concluding the sale by January 19—the day before Biden's term is set to expire. Should ByteDance fail to meet this deadline, it could trigger a nationwide TikTok ban, affecting its substantial base of 170 million American users.

TikTok has announced plans to file a lawsuit challenging the legislation, expressing confidence that it can win a legal challenge to block any legislation that may lead to an app ban. The company has argued that such a ban would not only harm the 7 million businesses that leverage the platform but also contends that it has invested billions of dollars to ensure the safety of U.S. user data and to maintain the platform's independence from external influences.

In an unprecedented move, TikTok users, with the backing of the legal firm Davis Wright Tremaine, known for its expertise in First Amendment issues, are expected to initiate legal action. Davis Wright Tremaine has previously represented TikTok creators in blocking a Montana law that sought to ban the app, securing a victory that was financially supported by TikTok.

Puneet Nanda, a small business owner who relies on TikTok for his business's visibility, stands among those approached by various law firms to join the legal challenge against the bill. Meanwhile, TikTok's CEO, Shou Zi Chew, has lauded Andersen's transition to special counsel, underscoring the critical nature of the mission at hand.

The bill requiring ByteDance to divest its stake in TikTok was part of a larger foreign aid package that encompasses support for U.S. allies, such as Ukraine, Israel, and Taiwan. This legislative move underscores the importance of TikTok in the broader context of the internet and technology conflict between Washington and Beijing.

In response to a report by The Information, ByteDance has denied claims that it is considering selling its stake in TikTok without the algorithm to a non-tech U.S. company. Reuters has reported that sources close to ByteDance suggest the company might shut down TikTok's U.S. operations rather than sell, should its legal challenge fail.

U.S. officials have raised concerns that TikTok could be coerced into sharing user data with the Chinese government, prompting ByteDance to highlight its initiative, Project Texas, which aims to safeguard U.S. users' data by storing it stateside under the control of a U.S.-led security team.

As discussions regarding a potential TikTok ban unfold, U.S. Secretary of State Antony Blinken is in Beijing for talks with Chinese President Xi Jinping. China has signaled that it would not approve the sale of TikTok to an American company, further complicating the geopolitical implications of the app's future in the U.S.

The Biden administration's signing of an aid package for Ukraine and Israel, which incidentally includes provisions that could lead to a TikTok ban, illustrates the complexities of this international technology dispute and the high stakes involved for all parties.

Conservative Bias:

Folks, what we have here is yet another example of the liberal elite's hypocrisy and their war on free enterprise. President Biden, probably in a basement somewhere, has signed a bill that's nothing short of an attack on a successful business—TikTok—under the guise of national security. This is just a ploy to distract the American people from the real issues at hand, like the disastrous economy and the border crisis they've created. They're trying to strip away the rights of 170 million Americans who use TikTok, not to mention the 7 million businesses thriving on it, all because they can't stand the thought of a foreign company outperforming their Silicon Valley cronies. They talk about data security, but let's be real, this is about control and censorship. And they're willing to jeopardize diplomatic relations with China to push their anti-business agenda. It's a disgrace!

Liberal Bias:

In a stark display of xenophobia and aggression, the Biden administration has signed a bill that threatens the very fabric of internet freedom. This is a transparent attempt by the conservative hawks to escalate tensions with China, using TikTok as a scapegoat. They're targeting a platform that empowers creators, supports small businesses, and fosters free expression for millions of Americans. Their so-called concerns about data privacy are a smokescreen for their real goal: to suppress a thriving community because it doesn't fit into their nationalist narrative. They are t****ling on the First Amendment, and it's clear that their actions are rooted in a deep-seated fear of the diverse and open dialogue that TikTok enables. This is an attack on innovation, creativity, and the global internet community, all because conservatives can't handle a world where voices from all corners of the globe can connect and flourish.

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