Brazil’s Internet Intermediary Liability Rules Under Trial: What Are the Risks?

The Brazilian Supreme Court is on the verge of deciding whether digital platforms can be held liable for third-party content even without a judicial order requiring removal. A panel of eleven justices is examining two cases jointly, and one of them directly challenges whether Brazil’s internet intermediary liability regime for user-generated content aligns with the country’s Federal Constitution or fails to meet constitutional standards. The outcome of these cases can seriously undermine important free expression and privacy safeguards if they lead to general content monitoring obligations or broadly expand notice-and-takedown mandates. 

The court’s examination revolves around Article 19 of Brazil’s Civil Rights Framework for the Internet (“Marco Civil da Internet”, Law n. 12.965/2014). The provision establishes that an internet application provider can only be held liable for third-party content if it fails to comply with a judicial order to remove the content. A notice-and-takedown exception to the provision applies in cases of copyright infringement, unauthorized disclosure of private images containing nudity or sexual activity, and content involving child sexual abuse. The first two exceptions are in Marco Civil, while the third one comes from a prior rule included in the Brazilian child protection law.

The decision the court takes will set a precedent for lower courts regarding two main topics: whether Marco Civil’s internet intermediary liability regime is aligned with Brazil's Constitution and whether internet application providers have the obligation to monitor online content they host and remove it when deemed offensive, without judicial intervention. Moreover, it can have a regional and cross-regional impact as lawmakers and courts look across borders at platform regulation trends amid global coordination initiatives.

After a public hearing held last year, the Court's sessions about the cases started in late November and, so far, only Justice Dias Toffoli, who is in charge of Marco Civil’s constitutionality case, has concluded the presentation of his vote. The justice declared Article 19 unconstitutional and established the notice-and-takedown regime set in Article 21 of Marco Civil, which relates to unauthorized disclosure of private images, as the general rule for intermediary liability. According to his vote, the determination of liability must consider the activities the internet application provider has actually carried out and the degree of interference of these activities.

However, platforms could be held liable for certain content regardless of notification, leading to a monitoring duty. Examples include content considered criminal offenses, such as crimes against the democratic state, human trafficking, terrorism, racism, and violence against children and women. It also includes the publication of notoriously false or severely miscontextualized facts that lead to violence or have the potential to disrupt the electoral process. If there’s reasonable doubt, the notice-and-takedown rule under Marco Civil’s Article 21 would be the applicable regime.

The court session resumes today, but it’s still uncertain whether all eleven justices will reach a judgement by year’s end.  

Some Background About Marco Civil’s Intermediary Liability Regime

The legislative intent back in 2014 to establish Article 19 as the general rule for internet application providers' liability for user-generated content reflected civil society’s concerns over platform censorship. Faced with the risk of being held liable for user content, internet platforms generally prioritize their economic interests and security over preserving users’ protected expression and over-remove content to avoid legal battles and regulatory scrutiny. The enforcement overreach of copyright rules online was already a problem when the legislative discussion of Marco Civil took place. Lawmakers chose to rely on courts to balance the different rights at stake in removing or keeping user content online. The approval of Marc