The U.S. State Department has reached a settlement with conservative media outlets that sued over alleged censorship during the Biden administration, marking a major legal development in the fight over free speech.
The case was originally filed in 2023 by outlets including The Daily Wire and The Federalist, along with Texas Attorney General Ken Paxton. Plaintiffs argued that the State Department funded and supported tools through its Global Engagement Center that were used to suppress or demonetize conservative viewpoints online.
Under the settlement, the federal government agreed to stop funding, promoting, or coordinating with technologies that censor or “fact-check” protected speech by American citizens and media outlets. The agreement is part of a court-approved consent decree that will remain in effect through 2036.
The settlement also restricts the State Department from working with outside organizations—domestic or foreign—to suppress or downgrade lawful speech, addressing concerns that government-backed programs indirectly influenced online content moderation.
The dispute centered heavily on the now-defunct Global Engagement Center, which had been tasked with countering foreign disinformation but was accused by critics of targeting domestic political speech. The office was shut down in 2025 after funding was cut and scrutiny increased.
The Biden administration had previously defended its actions as efforts to combat misinformation, particularly around COVID-19, elections, and public health. However, after President Donald Trump returned to office in 2025, the Department of Justice reversed course and moved to settle the case.
The agreement does not include monetary damages but requires the government to cover legal fees and implement safeguards, including training to ensure compliance with First Amendment protections.
Supporters of the lawsuit view the settlement as a significant First Amendment victory, while critics argue it could limit the government’s ability to address misinformation online.
