TikTok to Challenge Trump's Executive Order Banning Transactions With App

TikTok said it had tried to engage with the US administration for nearly a year but faced "a lack of due process."

By Reuters | Updated: 24 August 2020 11:43 IST

TikTok to Challenge Trump's Executive Order Banning Transactions With App

Trump had earlier ordered ByteDance to divest interest in US TikTok operations within 90 days

Highlights

TikTok had previously said it was exploring its legal options
ByteDance has been in talks with acquirers, including Microsoft & Oracle
Trump gave ByteDance 90 days to divest the US operations of TikTok

TikTok said on Saturday it plans to file a lawsuit on Monday against President Donald Trump's executive order prohibiting transactions with the popular short video app and its Chinese parent ByteDance, confirming an earlier Reuters report.

Reuters exclusively reported on Friday that TikTok would challenge Trump's executive order as early as Monday. TikTok said it had tried to engage with the US administration for nearly a year, but faced "a lack of due process" and that the government paid no attention to the facts."To ensure that the rule of law is not discarded and that our company and users are treated fairly, we have no choice but to challenge the executive order through the judicial system," the company said in a statement.

TikTok's owner ByteDance issued a separate statement on Sunday saying it will officially file a lawsuit against Trump administration on Monday, August 24.Trump issued an executive order on August 14 that gave ByteDance 90 days to divest the US operations of TikTok.

TikTok Prepares Advertisers for Possible App Ban

ByteDance has been making progress in talks with potential acquirers, including Microsoft and Oracle.

Some of ByteDance's US investors could also join the winning bid.

While TikTok is best known for its anodyne videos of people dancing and going viral among teenagers, US officials have expressed concerns that information on users could be passed on to China's government. A representative for the White House did not immediately respond to a request for comment.

© Thomson Reuters 2020

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