A Canada-based tech company, Equustek Solutions, had filed a case against Datalink, accusing the data services company of re-labeling one of Equustek’s products and passing it off as its own, while acting as a distributor.
In the complaint, Equustek blamed Datalink of acquiring confidential information and trade secrets belonging to the technology company and used them to design and manufacture a competing product.
Equustek also asked the Canadian court to restrict Google from displaying any part of Datalink’s websites on any of its search results worldwide.
In its defense, Google had raised freedom of expression concerns and challenged the “propriety and necessity of the extraterritorial reach” of the global order; however, the appeal was turned down by Canada’s Supreme Court.
Google later shifted the case to the US, claiming that it brought the action to “prevent enforcement in the US of a Canadian order that prohibits Google from publishing within the US search result information about the contents of the internet”.
In the plea, Google sought a declaration from the US court that the Canadian order is unenforceable in the US as it is inconsistent with the First Amendment and the Communications Decency Act.
Pronouncing the verdict, District Judge Edward Davila, said that the Canadian court ruling “undermines the policy goals of Section 230 (of the Communications Decency Act) and threatens free speech on the global internet”.
Reacting to the judgment, David Price, senior product counsel at Google, said that the company is pleased with the court's decision to uphold the legal principle that one country shouldn't be able to decide what information people in other countries can access online.
"Undermining this core principle inevitably leads to a world where internet users are subject to the most restrictive content limitations from every country," Price said.