X Corp submitted that, on and from 15 March 2023, Twitter Inc ceased to be a person, and therefore ceased to be a provider of a social media service. X Corp argued that they were not obliged to comply with the eSafety Commission's notice, as they were not the same entity as Twitter Inc. This claim rested upon the assertion that the company was fundamentally different since March 2023 due to its rebranding.
Australia federal Judge Michael Wheelahan found X's argument unconvincing, stating that it required 'leaps in logic that were not supported by adequate explanation.' The court's decision underscored the importance of corporate accountability in regard to regulatory compliance and highlighted that mere rebranding does not absolve a company from legal responsibilities.
Inman Grant, the eSafety Commissioner, expressed satisfaction with the ruling, emphasizing that acceptance of X Corp's argument could have set a concerning precedent. He noted that it was crucial for foreign companies to adhere to Australian laws and regulations, particularly in areas affecting child safety. Grant's statement amplified the need for accountability among social media platforms.
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