U.S. threatened massive fine to force Yahoo to release data
By Craig Timberg, Washington Post, September 11, 2014
The U.S. government threatened to fine Yahoo $250,000 a day in 2008 if it failed to comply with a broad demand to hand over user communications--a request the company believed was unconstitutional--according to court documents unsealed Thursday that illuminate how federal officials forced American tech companies to participate in the National Security Agency’s controversial PRISM program.
The documents, roughly 1,500 pages worth, outline a secret and ultimately unsuccessful legal battle by Yahoo to resist the government’s demands. The company’s loss required Yahoo to become one of the first to begin providing information to PRISM, a program that gave the NSA extensive access to records of online communications by users of Yahoo and other U.S.-based technology firms.
The ruling by the Foreign Intelligence Surveillance Court of Review became a key moment in the development of PRISM, helping government officials to convince other Silicon Valley companies that unprecedented data demands had been tested in the courts and found constitutionally sound. Eventually, most major U.S. tech companies, including Google, Facebook, Apple and AOL, complied. Microsoft had joined earlier, before the ruling, NSA documents have shown.
A version of the court ruling had been released in 2009 but was so heavily redacted that observers were unable to discern which company was involved, what the stakes were and how the court had wrestled with many of the issues involved.
“We already knew that this was a very, very important decision by the FISA Court of Review, but we could only guess at why,” said Stephen Vladeck, a law professor at American University.
PRISM was first revealed by former NSA contractor Edward Snowden last year, prompting intense backlash and a wrenching national debate over allegations of overreach in government surveillance.
Documents made it clear that the program allowed the NSA to order U.S.-based tech companies to turn over e-mails and other communications to or from foreign targets without search warrants for each of those targets. Other NSA programs gave even more wide-ranging access to personal information of people worldwide, by collecting data directly from fiber-optic connections.
In the aftermath of the revelations, the companies have struggled to defend themselves against accusations that they were willing participants in government surveillance programs--an allegation that has been particularly damaging to the reputations of these companies overseas, including in lucrative markets in Europe.
Yahoo, which endured heavy criticism after The Washington Post and Britain’s Guardian newspaper used Snowden’s documents to reveal the existence of PRISM last year, was legally bound from revealing its efforts in attempting to resist government pressure. The New York Times first reported Yahoo’s role in the case in June 2013, a week after the initial PRISM revelations.
Both the Foreign Intelligence Surveillance Court and the Foreign Intelligence Surveillance Court of Review, an appellate court, ordered declassification of the case last year, amid a broad effort to make public the legal reasoning behind NSA programs that had stirred national and international anger. Judge William C. Bryson, presiding judge of the Foreign Intelligence Surveillance Court of Review, ordered the documents from the legal battle unsealed Thursday. Documents from the case in the lower court have not been released.
Yahoo hailed the decision in a Tumblr post Thursday afternoon. “The released documents underscore how we had to fight every step of the way to challenge the U.S. Government’s surveillance efforts,” Ron Bell, the company’s general counsel, wrote in the post.











