In what is one of the most recent attempts to circumvent the immunity provided in Section 230 of the Communications Decency Act (“CDA” or “CDA Section 230”), the United States District Court for the District of Massachusetts made it clear that claims brought under the Defend Trade Secrets Act (18 U.S.C. §§ 1836, et seq.) (“DTSA”) are not exempt from the scope of CDA immunity. In Craft Beer Stellar, LLC v. Glassdoor, Inc., No. 18-10510, 2018 U.S. Dist. LEXIS 178960 (D. Mass. Oct. 17, 2018)), the district court found that, as stated in the DTSA itself, the DTSA is not an “intellectual property” law, and is therefore not excluded from the scope of the immunity provisions that protect online service providers from being treated as a publisher or distributor of third-party content. The ruling is a victory for online providers, affirming a robust interpretation of CDA immunity and representing what is likely the first judicial view on how federal trade secret claims should be treated under CDA Section 230.
Defamation
In a Divided Opinion, California Supreme Court Squashes End Run around CDA Immunity That Sought to Compel a Non-Party Online Platform to Remove Defamatory Content
UPDATE: On January 22, 2019, the Supreme Court denied review of the California Supreme Court decision.
In a closely-followed dispute, the California Supreme Court vacated a lower court order, based upon a default judgment in a defamation action, which had directed Yelp, Inc. (“Yelp”), a non-party to the original suit, to take down certain consumer reviews posted on its site. (Hassell v. Bird, No. S235968, 2018 WL 3213933 (Cal. July 2, 2018)). If the plaintiffs had included Yelp as a defendant in the original suit, such a suit would have likely been barred by Section 230 of the Communications Decency Act (“CDA” or “CDA Section 230”); instead, the plaintiffs adopted a litigation strategy to bypass such legal immunities. In refusing to allow plaintiff’s “creative pleading” to avoid the CDA, the outcome was a win for online companies and platforms that host user-generated content (“A Case for the Internet,” declared Yelp).
Controversial “Gripe Site” Protected (Again) by the Communications Decency Act and Defeats Novel Copyright Attack with Website “Browsewrap” License to User Generated Content
The controversial consumer gripe site, RipoffReport.com, is at it again. The First Circuit recently affirmed a lower court’s ruling that RipoffReport.com was entitled to immunity under Section 230 of the Communications Decency Act, 47 U.S.C. §230(c)(1) (the “CDA” or “Section 230”) for defamation-related claims based on certain user posts on its site. (Small Justice LLC v. Xcentric Ventures LLC, 2017 WL 4534395 (1st Cir. Oct. 11, 2017)). This is the latest in a string of victories for RipoffReport.com on that issue. In this case, RipoffReport.com also successfully relied on its website “terms of use” to fend off a novel copyright attack from the plaintiff, the successor-in-interest to the copyright in the user postings at issue.
Sixth Circuit Reinforces CDA Immunity – Reverses Lower Court in Jones v. Dirty World
On June 16th, 2014, the Sixth Circuit reversed the lower court’s holding that the gossip site, TheDirty.com, was responsible for its users’ defamatory posts and could not rely on immunity under CDA Section 230. The appeals court ruled that even though the gossip site selected and edited user-generated…
Sixth Circuit Affirms ‘Dirtiest Hotel’ Defamation Ruling
We previously wrote about a Tennessee district court’s decision holding that a hotel’s inclusion at the top of the 2011 TripAdvisor “Dirtiest Hotels” list constituted hyperbolic opinion and rhetorical exaggeration, and thus was not actionable under Tennessee defamation law. This past month, a circuit court upheld the ruling.
On appeal,…
Sixth Circuit to Construe Scope of CDA Section 230 Immunity on Appeal of Unusual Jones v. Dirty World Decision
How can a website operator lose the broad immunity for liability associated with user-generated content conferred by Section 230 of the Communications Decency Act (CDA)?
Section 230 has been consistently interpreted by most courts to protect website operators against claims arising out of third-party content, despite some less than honorable…
This Is One of the Top Ten Best Blog Posts Ever Written about Online Defamation
UPDATE: On appeal, the Sixth Circuit affirmed the lower court’s grant of TripAdvisor’s motion to dismiss, ruling that the plaintiff could not prove falsity on its defamation claim because the placement of hotels on TripAdvisor’s list constituted protected opinion. The opinion is discussed in a follow-up post.
Although we…