Lawsuit Filed Against President Trump Over Truth Social Service
In New York, President Donald Trump faces a lawsuit aiming to prevent him from profiting through a new paid service offered by his Truth Social company. This service provides early access to his posts concerning U.S. policy.
The lawsuit claims that this paid service violates the Constitution by offering paying customers a sneak peek at posts on issues such as war and tariffs. It argues that such official announcements should be equally accessible to everyone. Launched earlier this month, the service charges up to $100,000 monthly from Wall Street firms to view posts that can influence markets before others have access.
A president selling priority access to news he himself generates for the benefit of a private company he controls is corrupt and unconstitutional,
said Seth Stern, chief advocacy officer at the Freedom of the Press Foundation. This organization, alongside The Intercept news outlet, is a plaintiff in the case.
Responding, Trump Media & Technology, Truth Social’s parent company, defended the sale, citing it as common industry practice. They accused plaintiffs of attempting to suppress the president.
Information from President Trump is disseminated by countless platforms and news outlets, many of which offer subscription APIs.
At the same time, they criticized left-wing activists for trying to misuse legal avenues to censor him.
The new subscription model unfolds as Trump Media, a public enterprise, faces significant financial losses each quarter. Its stock price plummeted from $62 to under $10 since it entered the public market two years ago. The lawsuit contends the service breaches the First Amendment, which guarantees equal access to presidential remarks, and the Fifth Amendment, barring excessive conditions on public benefits.
The lawsuit demands that Trump Media cease the Truth API service, providing access milliseconds ahead of others. It further challenges the company’s deal granting Truth Social six hours of exclusivity to Trump’s posts before he releases them broadly.
Criticism from ethics watchdogs over Trump’s economic endeavors on Truth Social predates this API service, citing entrepreneurial maneuvers paralleling his presidency. This includes ventures in cryptocurrency reported in Trump’s annual financial disclosure that details over $1 billion in earnings last year.
Following his reelection, Trump’s digital finance company, World Liberty Financial, secured a $500 million investment from an entity associated with the United Arab Emirates. Additionally, the company sold large quantities of Trump-themed coins, with buyers potentially seeking federal favors, including a billionaire involved in an ongoing federal case.
The lawsuit, filed in the Southern District of New York, also names Trump’s deputy chief of staff Daniel Scavino and executive assistant Natalie J. Harp as defendants.