Steve Wozniak, the co-founder of Apple, has emerged victorious in an appellate court ruling, allowing him to proceed with a legal case against YouTube concerning a Bitcoin scam that featured his image without consent. The appellate court has reversed a prior decision from a lower court which had previously cleared YouTube of legal responsibility.
Victory Opens Doors for Legal Actions
The San Jose appellate court has decided that YouTube cannot hide behind Section 230 of the Communications Decency Act to evade accountability. This statute has generally protected online platforms from liabilities for user-generated content. The reversal enables Wozniak to pursue his case further, which could set a precedent for holding platforms accountable for their content management practices.
Back in 2020, manipulated videos of Wozniak and other tech giants such as Elon Musk and Michael Dell were utilized to promote a deceptive Bitcoin giveaway on YouTube, causing viewers to be defrauded.
Appellate Court Casts Doubt on Platform Immunity
The appellate court’s ruling is particularly noteworthy as it questions the broad immunity platforms have enjoyed. It brings to light the issue of YouTube channels being hijacked for scam promotions, with YouTube and parent company Google being criticized for their role in perpetuating the fraud by not revoking verification badges from compromised accounts.
During the scam, a verification badge was improperly assigned to a channel, and the court pointed out that such actions might strip YouTube and Google of their previously assumed protection under Section 230. Wozniak’s lawyer, Joe Cotchett, interprets this ruling as a significant move toward obliging social media giants to be more diligent and responsible for content on their platforms.