TikTok Canada challenges order to close Bytedance subsidiary over national security risk | Company Business News

TikTok Technology Canada Inc. applied for a judicial review to challenge Canada’s order that China’s Bytedance Ltd. close its subsidiary in the country, citing national security risks.

In the filing at the Federal Court of Canada in Vancouver, the company argued that the government’s order is disproportionate and exceeds officials’ legal scope; that the national security review was procedurally unfair; and that the conclusion of national security harms was “unreasonable.” The filing asks that the order be set aside.

The Details

The documents, filed Dec. 5, describe a relationship between TikTok and Canadian officials that started with “routine discussions” but hardened over several years. By March 2023, Canadian officials began issuing requests for information for a year and a half, and in September 2023, Canada launched a national security review, which was extended twice, the documents said. TikTok wasn’t appropriately informed about addressing Canada’s concerns before the closure order was issued, according to the filing.

TikTok’s Canada unit sells advertising space, while the platform itself is provided in Canada by TikTok Pte, a Singapore corporation that also acts as the data controller of Canadian users’ data, the filing said.

Background

The video-sharing platform has more than 14 million monthly users in Canada — a third of the country’s roughly 42 million people. In the 2021 federal election, the document added, TikTok Canada worked with Canada’s elections agency and Privy Council Office “on partnerships to support election integrity” on the app.

A spokeswoman for Canada’s Industry and Science ministry said the government’s decision was informed by a “thorough national security review and advice from Canada’s security and intelligence community,” and it respects the legal process but stands by its decision. The filing was reported earlier Tuesday by the Canadian Press.

Disclaimer: This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.