EU Court Limits YouTube's Liability Shield for Partnered Content
AI-generated image · US National Wire
A CJEU ruling suggests Google cannot claim passive intermediary status after reviewing creator channels for commercial agreements.
The Court of Justice of the European Union (CJEU) has ruled that Google cannot automatically rely on intermediary liability protections for YouTube content it reviews as part of commercial partnerships with creators, according to reporting from The Register.
The ruling follows a 2022 dispute involving a €750,000 fine levied against Google Ireland by Italy's communications regulator. The fine concerned YouTube videos that promoted online gambling. Before establishing a revenue-sharing agreement to place pre-roll ads on a creator's videos, Google conducted a review of the channel's content. Italy's regulator argued this review disqualified Google from being viewed as a neutral intermediary.
While liability exemptions typically apply when a provider lacks knowledge of or control over stored information, the CJEU found the exemption "does not apply" to operators who agree to commercial terms after examining a channel's metadata, main themes, or most-viewed and newest videos. The court's decision effectively narrows the "intermediary service provider" defense for content where Google has specific knowledge gained through commercial vetting.
The case now returns to Italy's Council of State for a final decision. In a statement reported by The Register, a Google spokesperson expressed disappointment with the CJEU's decision, noting the company seeks further clarity and will present its arguments before the Council of State.