X could face liability for failing to stop CSAM.
It’s a relatively narrow legal defeat, though. The Ninth Circuit Appeals Court ruled that X — Twitter, at the time of the lawsuit — isn’t protected by Section 230 for failing to report known child sexual abuse material to authorities, nor for designing a bad system to let users flag it. (It hasn’t been held liable for either; that will be argued later.) But the court found Section 230 blocked claims that it “amplified” CSAM by failing to scrub offending hashtags, and it said the controversial FOSTA exception didn’t come into play.