District court grants preliminary injunction against FTC for investigating Media Matters

Judge Sparkle L. Sooknanan of the District Court of Columbia has granted a preliminary injunction, thereby blocking the Federal Trade Commission’s investigation into Media Matters’ report on advertisements on X.

In November 2023, Media Matters for America, a nonprofit media company, published a story stating that, as a result of Elon Musk’s acquisition of Twitter, advertisements on the social media platform appeared next to antisemitic posts and other offensive content.

This led to numerous major advertisers, including tech companies such as IBM and Apple, pulling back. Musk immediately responded by saying he would file “a thermonuclear lawsuit” against Media Matters.

In addition, the entrepreneur sued the Global Alliance of Responsible Media (GARM), a group of advertisers, for what he called a “systemic illegal boycott.”

In May 2025, the Federal Trade Commission (FTC) also launched an investigation into Media Matters for allegedly colluding with advertisers to damage Musk’s social media company's relationship with them.

Media Matters tried to challenge the FTC’s inquiry by going to court. For now, the advocacy group has fended off the antitrust supervisor’s investigation.

In her decision, Judge Sparkle L. Sooknanan of the District Court of Columbia said that Media Matters engaged in “quintessential First Amendment activity” when it published its report criticizing Musk and X. She also added that the FTC’s investigation is considered a “retaliatory act,” which has had its “intended effect” as Media Matters decided against pursuing certain stories about the FTC, FTC Chairman Andrew Ferguson, and Elon Musk.

Judge Sooknanan also wrote a fair warning regarding the dangers of these kinds of Civil Investigative Demands (CIDs).

“Speech on matters of public concern is the heartland of the First Amendment. The principle that public issues should be debated freely has long been woven into the very fabric of who we are as a Nation. Without it, our democracy stands on shaky ground. It should alarm all Americans when the Government retaliates against individuals or organizations for engaging in constitutionally protected public debate. And that alarm should ring even louder when the Government retaliates against those engaged in newsgathering and reporting.”

It remains unclear whether the FTC intends to appeal the District Court’s decision.