TikTok is preparing to mount a legal challenge as early as Monday to President Donald Trump’s executive order prohibiting transactions with the popular short video app and its Chinese parent ByteDance, according to people familiar with the matter.
TikTok’s legal challenge pertains to an earlier executive order, which Trump issued on Aug. 6, the sources said. That order directed the Secretary of Commerce to come up with a list of transactions involving ByteDance and its holdings that should be banned after 45 days.
TikTok plans to argue that the Aug. 6 executive order’s reliance on the International Emergency Economic Powers Act deprives it of due process, according to the sources. TikTok will also contest its classification by the White House as a national security threat, the sources added.