Trending Now - Trump and Bondi Face Lawsuit Over Tiktok Asset Sale Controversy

WHO:

President Trump

Pam Bondi, Attorney General

Brendan Ballou, Justice Department prosecutor and chief executive at The Public Integrity Project

ZhaoCheng Tan, investor in Alphabet Inc.

Garrett Reid, investor in Meta Platforms Inc.

Larry Ellison, founder of Oracle

Companies involved: Oracle, Abu Dhabi-based MGX, Susquehanna International Group, General Atlantic, ByteDance

WHAT:

A civil lawsuit was filed against President Trump and Pam Bondi, accusing them of failing to enforce a law regarding TikTok's U.S. operations.

The lawsuit claims the Trump administration granted multiple unlawful extensions to TikTok's operations instead of enforcing a divestiture.

The plaintiffs argue that the sale of TikTok's U.S. assets to a group of investors, including those with ties to Trump, violated the law.

The lawsuit states that the deal allowed ByteDance to retain ownership of TikTok's recommendation algorithm, which is against the law.

The plaintiffs claim financial harm due to the administration's actions.

WHERE:

The lawsuit was filed in the Washington, D.C., Circuit Court of Appeals.

The deal involved TikTok's U.S. operations.

WHEN:

The lawsuit was filed on March 5, 2026.

The law requiring ByteDance to divest was passed in 2024.

The deadline for ByteDance to divest was January 19, 2025.

TikTok announced a new U.S.-based entity in January 2026.

The Supreme Court unanimously upheld the law in 2025.

WHY:

The lawsuit claims that the Trump administration's actions harmed investors in companies competing with TikTok.

The law was designed to prevent the spread of Chinese propaganda and protect U.S. national security.

HOW:

The Trump administration issued multiple executive orders extending TikTok's operations instead of enforcing the law.

The lawsuit alleges that the deal approved by Trump rewarded allies and included investors with close ties to him.

The law allowed for only one 90-day extension if there was evidence of significant progress toward compliance, which the plaintiffs argue was not met.

QUOTES:

Brendan Ballou stated, "By flaunting the law so publicly, I think the president is trying to send a message that he is quite literally beyond the reach of the courts, beyond the reach of Congress, beyond the reach of the rule of law."

Trump praised the deal on social media, calling it a "very dramatic, final, and beautiful conclusion."

A civil lawsuit was filed yesterday in the Washington, D.C., Circuit Court of Appeals against Trump and Attorney General Pam Bondi, accusing them of failing to enforce a law that required TikTok to divest its U.S. operations. The plaintiffs argue that the Trump administration unlawfully extended TikTok's operations, allowing ByteDance to retain ownership of its recommendation algorithm, which they claim harmed investors and violated national security laws. Brendan Ballou, a prosecutor involved in the case, criticized the president's actions, stating that they suggest he believes he is "beyond the reach of the courts," while Trump previously praised the deal as a "very dramatic, final, and beautiful conclusion."