One week after Justice Alexandre de Moraes ordered the suspension of X in Brazil, the Supreme Federal Court will now review the decision in an upcoming plenary session. Until then, the platform’s future in the country remains uncertain, as the legal dispute centers around complex aspects of misinformation and free speech. 

However, the events of the previous days could have lasting implications for how social media platforms operate within legal frameworks beyond Brazil. 

Cointelegraph compiled key developments over the dispute and the potential impact of the Brazilian Supreme Court’s final decision as the case enters the crossroads between free speech and social media regulation.

X, Musk and Brazil’s Moraes: an overview

The clash between Elon Musk and Brazil’s Justice Alexandre de Moraes has been brewing for a while now.

After acquiring X in 2022, Musk positioned the platform as a haven for free speech and refused to comply with orders from Brazil’s Supreme Court to remove content deemed harmful, including misinformation and extremist rhetoric.

Earlier in 2024, Justice Moraes ordered X to block accounts allegedly linked to anti-democratic activity, including accounts from Brazilian Senators. At the time, Musk responded by accusing Moraes of censorship, fueling support from far-right political figures in the country. 

The situation deteriorated when X closed its Brazil office in August 2024 due to concerns of legal action against the platform’s local representative. As a result, Justice Moraes requested X name a new legal representative. According to Brazil’s law, social media platforms operating in the country must have a legal representative. 

Justice Alexandre de Moraes. Source: Marcelo Camargo/Agência Brasil

Moraes used X to summon Musk to comply with the local regulations on Aug. 28, demanding a new representative to be named within 24 hours. As a response, Musk flooded his profile on X with memes about the judge. 

On Aug. 30, Justice Moraes suspended the social media platform’s activities in the country as it failed to appoint a new representative.

The Supreme Court’s efforts to regulate tech giants in the country and balance their operations under local regulations are in the background. 

Justice Moraes had been investigating X for allegedly promoting and allowing misinformation concerning former Brazilian President Jair Bolsonaro. Musk has also been under investigation for obstruction of justice, involvement in a criminal organization, and incitement to crime. 

Source: Elon Musk

As a response so far, Musk has made several posts calling Moraes “evil” and a “dictator.” 

Brazil’s Bar Association challenges Moraes’ decision

In a recent development in the legal battle over the suspension of the social network X, Justice Nunes Marques has ordered the Prosecutor General’s Office (PGR) and the Solicitor General’s Office (AGU) to weigh in on the case. 

On Sept. 6, the Justice ordered both offices to submit within five days their assessments of two appeals filed by the Brazilian Bar Association and a political party (Partido Novo). 

In the same ruling, Justice Nunes Marques indicated that the Supreme Court’s plenary should also review the case, citing its “sensitive” nature and significant impact on public and social order.

While the final decision rests with the court’s plenary, there is no set timeline for this review, and Justice Marques could issue a unilateral ruling ahead of the plenary meeting. The court’s panel previously upheld Moraes’s decision to ban the platform on Sept. 2. 

The appeals challenge the social platform suspension and a fine for users accessing X through virtual private networks (VPN). 

Along with X’s ban, Justice Moraes ruled on Aug. 30 that using “technological subterfuges,” such as VPNs, to bypass the restriction is prohibited. Violators attempting to access the platform via VPNs in Brazil could face a daily fine of 50,000 Brazilian reais (~ $9,000).

Lula’s government position

Brazil’s government, led by President Luiz Inácio Lula da Silva, has expressed strong support for Justice Moraes in the ongoing dispute. 

Brazi's President Lula da Silva and former President Jair Bolsonaro. Source: Rovena Rosa/Tomaz Silva/Agência Brasil

Lula himself and the government have consistently defended Moraes’ decisions, claiming that Brazil’s court system, represented by Moraes, is working to ensure that social media platforms like X adhere to local laws, combating misinformation and protecting democracy. 

President Lula said in a local interview on Aug. 30: 

“Every citizen from any part of the world who invests in Brazil is subject to the Brazilian Constitution and laws. [...] Just because this ‘guy' [Musk] has a lot of money doesn’t mean he can disrespect them. [...] Who does he think he is? He must respect the decision of the Brazilian Supreme Court.”

In January 2023, supporters of former President Bolsonaro stormed government buildings in a coup attempt, demanding that the election results be reverted. On similar grounds to the Jan. 6 events in Washington, the United States. 

Brazil’s Supreme Court and Moraes blamed Bolsonaro for the civil unrest, which was reportedly fueled by misinformation and fake news spread on X.

Magazine: Jack Dorsey’s ‘marketplace of algorithms’ could fix social media… so why hasn’t it?