It would be far more difficult to censor a truly decentralized app (DApp) than to censor a centralized one. So if someone is using Livepeer on the backend to show content only at
example.com, then a government could probably censor
example.com pretty easily. And if
example.com were a centralized company, it would be important that it acted within the bounds of the law.
But if the content was distributed through a locally downloaded native or web based app, talking to a local livepeer node, and not talking to any remote server like
example.com, then this would be far more difficult or impossible to censor. And since there would be no company or individual who owned the dapp, there would be no party to go after who even had the ability to shut it down.
Of course, if the content being shared were illegal, then there's no way to prevent the authorities from going after the creator, if they can be identified.