Elon Musk’s X Corp. sued Media Matters on Monday, claiming the media watchdog group defamed the social-media company last week with a report that pro-Nazi posts were appearing next to ads by major brands.

The lawsuit, filed in U.S. District Court for the Northern District of Texas, claimed Media Matters “knowingly and maliciously” manufactured misleading images and portrayed them as if they were a typical user experience, and accused the organization of a “smear campaign” against X, the former Twitter.

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