UPDATE: On October 14, 2019, the parties entered into a Joint Stipulation dismissing the case, with prejudice. It appears from some reports that Stackla’s access to Facebook has been reinstated as part of the settlement.
UPDATE: On September 27, 2019, the California district court issued its written order denying Stackla’s request for a TRO. In short, the court found that, at this early stage, Stackla only demonstrated “speculative harm” and its “vague statements” did not sufficiently show that restoration of access to Facebook’s API would cure the alleged impending reality of Stackla losing customers and being driven out of business (“The extraordinary relief of a pre-adjudicatory injunction demands more precision with respect to when irreparable harm will occur than ‘soon.’”). As for weighing whether a TRO would be in the public interest, the court, while understanding Stackla’s predicament, found that issuing a TRO could hamper Facebook’s ability to “decisively police its social-media platforms” and that there was a public interest in allowing a company to police the integrity of its platforms (“Facebook’s enforcement activities would be compromised if judicial review were expected to precede rather than follow its enforcement actions”). [emphasis in original]. This ruling leaves the issue for another day, perhaps during a preliminary injunction hearing, after some additional briefing of the issues.
The ink is barely dry on the landmark Ninth Circuit hiQ Labs decision. Yet, a new dispute has already cropped up testing the bounds of the CFAA and the ability of a platform to enforce terms restricting unauthorized scraping of social media content. (See Stackla, Inc. v. Facebook, Inc., No. 19-5849 (N.D. Cal. filed Sept. 19, 2019)). This dispute involves Facebook and a social media sentiment tracking company, Stackla, Inc., which, as part of its business, accesses Facebook and Instagram content. This past Wednesday, September 25th, the judge in the case denied Stackla, Inc.’s request for emergency relief restoring its access to Facebook’s platform. While the judge has yet to issue a written ruling, the initial pleadings and memoranda filed in the case are noteworthy and bring up important issues surrounding the hot issue of scraping.