Unconfirmed sources report that the Federal Communications Commission’s eminent domain seizure of Craigslist has been approved unanimously by the Supreme Court. The ruling clears the way for the wildly popular free classified ad service to be auctioned off to the highest bidder. Several large media companies have expressed great interest in the property and the sale is expected to generate billions of dollars of revenue for the government.
This ruling brings to an end a legal drama that began just last year when the FCC, pressured by the White House, used eminent domain to seize Craigslist. The FCC argued that Craigslist was not being run in the interests of the people. By not charging for it’s services Craigslist was depriving the retail economy of much needed ad revenue and the federal government of much need tax revenue. The site was said to be under the control of a bunch of socialists or maybe even “pink-o-communists”.
FCC lawyers argued convincingly that the seizer and resale of Craigslist would be in the best interest of the country. A motley crew of lawyers assembled through Craigslist called the FCC actions “abusive” and “patently unconstitutional”, but the Supreme Court begged to differ.
“I’m not surprised.” Says Washington insider Marcus Wattly Jr. “This court has been very friendly to the government’s use of eminent domain to seize and resell assets for the benefit of society at large. Craigslist is a terrific free service, no question about that, and that is the problem. Experts believe its policy of proving services for free wad costing the economy many millions of dollars. The government had to step in and make Craigslist like act like a regular company.”
“This total bites” said Kevin Whitehead , a freelance writer from San Francisco. “I use Craigslist all the time and it is really cool. I hope it doesn’t get all junked up with crappy adds from AT&T or something. That would suck.”
The auction of Craigslist is expects to happen in a few weeks and it is expect to sell for several billion dollors.