All about Twitter
AX Corp., the company that owns X (formerly Twitter) is challenging a $610,500 fine imposed by the Australian online safety commissioner for failing to respond to a warning about its handling of child sexual abuse material, The Guardian reported.
The warning was issued when the social network was still known as Twitter, but X Corp argues that the fine is invalid since Twitter was merged into X Corp in March 2023, and therefore no longer existed when the penalty was imposed.
AX Corp. argued in federal court that the section of the Online Safety Act that addresses warnings does not consider the situation of a company that ceases to exist after a warning is issued. They argue that liability for the warning cannot be transferred to the new entity after the original company is dissolved.
X claims the fine is unfair as it was given to Twitter after the company no longer exists – Image: Shutterstock/Omar ElDeraa
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Commissioner Julie Inman Grant issued the notice in February last year, giving Twitter extensions to respond, but some questions were left unanswered. Grant said Twitter provided inaccurate information and failed to respond adequately to questions.
Australian court to review case
The court is considering whether responsibility for the notice was properly transferred to X Corp and will also consider the impact of this decision on the Commissioner’s powers and the application of the Online Safety Act. The case also serves as a test case for the current legislation, which is currently under review by the Australian government, with a report expected in late October. In addition, the Commissioner has commenced separate proceedings against X Corp for alleged non-compliance with the notice, and these proceedings are currently on hold until the main matter in the Federal Court is resolved.
OX faces problems in Australian court, originating when the site was called Twitter – Image: bluecat_stock/Shutterstock