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Federal Court Dismisses X Corp’s Appeal, Orders Legal Costs in Child Safety Case

The unanimous ruling cements Australia’s reach over foreign platforms by rejecting X’s merger-based immunity claim under the Online Safety Act.

FILE - The opening page of X is displayed on a computer and phone in Sydney on Oct. 16, 2023. (AP Photo/Rick Rycroft, File)
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Overview

  • Three Federal Court judges unanimously dismissed X Corp.’s appeal and reaffirmed its obligation to respond to the eSafety Commissioner’s reporting notice under Australia’s Online Safety Act.
  • Justice Bernard Murphy directed X Corp. to pay the commissioner’s legal costs after rejecting arguments that the Twitter-to-X merger voided its child safety reporting duties.
  • X Corp has not paid the A$610,500 penalty imposed in September 2023 for its incomplete response and faces a separate federal case over that fine.
  • eSafety Commissioner Julie Inman Grant welcomed the decision as a necessary check on attempts to use corporate restructuring to evade regulatory oversight.
  • The outcome underscores Australia’s strengthening digital safety framework, which includes a December 2025 ban on social media access for users under 16.