SpaceX, Twitter, and electric car maker Tesla CEO Elon Musk observed as he spoke during his visit to the Vivatech technology startups and innovation fair at the Porte de Versailles exhibition center in Paris on June 16, 2023. (Photo by Alain JOCARD / AFP) (Photo by ALAIN JOCARD/AFP via Getty Images)
Alain Jocard | Afp | Getty Images
Twitter has filed a request with a federal court on Thursday, seeking to terminate or modify a Federal Trade Commission (FTC) order that governs the company’s storage and usage of Twitter users’ information.
The initial agreement from 2011 resolved charges against Twitter for inadequate protection of user information. Under the order, Twitter was subjected to an assessment of its security program by an independent body for 10 years and prohibited from misleading consumers regarding security and privacy practices for 20 years.
Twitter is now asking the court to review the fairness of the 2011 FTC order in light of the FTC’s actions. The company claims that the investigation has been biased and out of control, rendering the consent order obsolete.
According to Twitter, the FTC has placed excessive demands for document protection, with an increase in demand letters since Elon Musk became the CEO last year. Twitter’s parent company, X Corp., has received 16 letters compared to the FTC’s previous rate of about 28 in over a decade.
Twitter’s filing states, “The FTC’s overreach has now culminated in a demand to depose Mr. Musk, who is not, and never has been, a party to the Consent Order.”
In May 2022, prior to Musk’s takeover, Twitter reached a $150 million settlement with the FTC and Department of Justice over allegations of violating the 2011 order by failing to adequately inform users about how their contact information would be used for targeted ads.
Since Musk’s takeover, the FTC has expressed concerns and emphasized its commitment to enforcing orders following the departure of key privacy and security executives from Twitter.
“We are closely monitoring recent developments at Twitter with deep concern,” stated an FTC spokesperson in November. “No CEO or company is above the law, and companies must comply with our consent decrees. Our revised consent order equips us with new tools to ensure compliance, and we are prepared to utilize them.”
As an alternative to terminating or modifying the agreement, Twitter proposes that the court instruct the FTC to provide evidence to X Corp. and suspend enforcement until such evidence is provided.
The FTC has declined to comment on the matter.
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