Supreme Court Upholds Law That Bans TikTok If Its Chinese Parent Company Does Not Divest

.
The high court ruled 9-0 to allow a national security law that demands TikTok’s Chinese parent company to sell it or face a ban to come into force.
The U.S. Supreme Court on Jan. 17 turned away TikTok’s request to halt a federal law requiring indirect owner ByteDance to divest itself of the company by Jan. 19 or cease U.S. operations.
The nation’s highest court took action in the fast-tracked case seven days after oral arguments on Jan. 10 in TikTok Inc. v. Garland and its companion case, Firebaugh v. Garland.
President-elect Donald Trump, who will be inaugurated on Jan. 20 and is himself a social media entrepreneur, had previously filed a brief asking the justices to stay the law to give him an opportunity to develop a political solution when he returns to the White House.
President Joe Biden, who leaves office days from now, signed the law, called the Protecting Americans from Foreign Adversary Controlled Applications Act, on April 24, 2024, after it was passed by bipartisan majorities in the House and Senate.
TikTok is operated in the United States by TikTok Inc., a U.S. company that Cayman Islands-based ByteDance Ltd. owns indirectly.
TikTok acknowledges that ByteDance owns subsidiaries in China and other nations but denies Chinese influence in its operations.
Chief Justice John Roberts said Congress specifically found that ByteDance cooperates with China in manipulating content and that its cooperation is required by Chinese law.
“Are we supposed to ignore the fact that the ultimate parent is, in fact, subject to doing intelligence work for the Chinese government?” Roberts said.
“Congress doesn’t care about what’s on TikTok. The law does not say [that] TikTok has to stop. They’re saying that the Chinese have to stop controlling TikTok.”
This is a developing story. It will be updated.
.