President Donald Trump issued an executive order directing the Justice Department not to enforce regulations that would require TikTok to be separated from or banned from its Chinese parent company, ByteDance.
The order, issued on Trump’s first day in office, is intended to cut penalties for U.S. companies like Apple and Google that work with TikTok, effectively extending the deadline set by the Protecting Americans from Foreign Control Applications Act for ByteDance to sell its stake. no see. The bill directs the Attorney General to “take no action to enforce the law for 75 days beginning today to provide the Executive Branch with an opportunity to determine the appropriate course of action in an orderly manner.” The AG must “issue a letter to each provider stating that there is no violation of the law and that they are not responsible for any actions that occurred.”
The order also directs the Justice Department “not to take action to enforce the law or to impose penalties on businesses that fail to comply with the law” and prohibits it from doing so “for any conduct that occurred during the above period.” says: “A specified period or period of time prior to the issuance of this Order, including the period from January 19, 2025, until the signing of this Order.”
Trump, who issued an executive order banning TikTok during his first term in 2020, is now trying to circumvent the bipartisan law that took effect Jan. 19. Before taking office, he posted on Truth Social that he was “asking companies to continue to work with TikTok,” risking hundreds of billions of dollars in fines if Trump’s promises don’t hold up in court. It means. TikTok went down briefly on Sunday but quickly came back online. However, it was removed from Apple and Google’s app stores and has never returned.
It is unclear whether Trump can legally stop the TikTok ban. The law allowed a 90-day extension if ByteDance announced a sale to a company that was not a “foreign enemy” before the deadline, but not only has no such sale been announced, but the law is ambiguous as to whether the extension can be used after the expiration. 19th. In any case, Trump has so far not used the deadline and is simply attempting to ignore the law.
Despite these assurances, it may not be enough to convince service providers subject to the law to reinstate TikTok. As many legal experts have pointed out, these companies could face potential fines of up to approximately $850 billion for violating the law. The law was passed by a bipartisan Congress, signed by former President Joe Biden and supported by the full Supreme Court. The government can take action against potential violations even five years after the violation occurred. The executive order does not change this fact. But it could help give companies a little more due process to fight back. Companies still may not be willing to risk lawsuits for such large potential fines, but they may also be wary of incurring Trump’s wrath by refusing to cooperate with TikTok.
Among other things, the order states that it “is not intended to create and does not create any right or benefit, substantive or procedural, enforceable at law or in equity against the United States.” It is unreliable as a means of corporate defense.
President Trump also declared on Sunday that the U.S. government could own a 50% stake in TikTok through an unexplained “joint venture” with a private company. It’s still unclear how this will work.