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    Fox Will Pay $787.5 Million to Settle Dominion Defamation Suit

    The settlement with Dominion Voting Systems was the latest extraordinary twist in a case that exposed the inner workings of the most powerful voice in conservative news.Fox News abruptly agreed on Tuesday to pay $787.5 million to resolve a defamation suit filed by Dominion Voting Systems over the network’s promotion of misinformation about the 2020 election, averting a lengthy and embarrassing trial just as a packed courtroom was seated in anticipation of hearing opening statements.The settlement, one of the largest ever in a defamation case, was the latest extraordinary twist in a case that has been full of remarkable disclosures that exposed the inner workings of the most powerful voice in conservative news.In addition to the huge financial price, Dominion exacted a difficult admission from Fox News, which acknowledged in a statement that “certain claims” it made about Dominion were false.“The truth matters. Lies have consequences,” Justin Nelson, a lawyer for Dominion, said outside Delaware Superior Court on Tuesday.“Lies have consequences,” a lawyer for Dominion Voting Systems said during a news conference.Pete Marovich for The New York TimesNews of the 11th-hour agreement stunned the full courtroom in Wilmington, where the case was being heard. Gasps filled the air when Judge Eric M. Davis told the jury shortly before 4 p.m. that the two parties had resolved the matter. Lawyers for both sides had been preparing to speak to the jury for the first time, microphones clipped to their jacket lapels.The settlement spares Fox a trial that would have gone on for weeks and put many of the company’s most prominent figures — from the media mogul Rupert Murdoch to hosts like Tucker Carlson and Maria Bartiromo — on the stand.The case held the potential to make public a stream of damaging information about how the network told its audience a story of fraud and interference in the 2020 presidential election that many of its own executives and on-screen personalities did not believe. And the network was not forced to apologize — a concession that Dominion lawyers had sought, lawyers involved in the case said.Dominion sued two years ago, after Fox aired false stories claiming that Dominion’s voting machines were susceptible to hacking and had flipped votes from President Donald J. Trump to Joseph R. Biden Jr. On Tuesday, the company expressed a sense of exoneration about the large financial cost that Fox will have to pay. While Dominion’s suit asked for damages of $1.6 billion, almost double the settlement figure, the company will avoid many years of appeals that could have trimmed or eliminated any payout from a trial.“Over two years ago, a torrent of lies swept Dominion and election officials across America into an alternative universe of conspiracy theories causing grievous harm to Dominion and the country,” Mr. Nelson said. “Today’s settlement of $787.5 million represents vindication and accountability.”The case and the expected trial were significant because they raised the prospect for an elusive judgment in the post-Trump era: Very few allies of the former president’s have been held legally accountable for their roles in spreading the falsehoods that undermined confidence in the country’s democratic process and cast Mr. Biden’s victory as illegitimate. Polls show that large numbers of Republicans still believe the 2020 election was tainted.The size of the settlement, experts said, seems to have little precedent. RonNell Andersen Jones, a professor of law at the S.J. Quinney College of Law at the University of Utah, said she believed it was one of the largest settlements in a defamation case ever.“This was unquestionably the strongest defamation case we’ve ever seen against a major media company,” Ms. Andersen Jones said. The case was even more unusual, she added, because media companies typically seek to settle well before so much damaging information about their internal workings is released.A deal came together at the last possible minute, after months of almost no serious discussion between the two sides. As the case proceeded, Dominion divulged extraordinary details about the doubts that Fox employees expressed privately about voter fraud claims, even as they struck a different tone on the air.“Settlement before this trove of evidence became public would of course have been in Fox’s best interest,” Ms. Andersen Jones said. “Waiting until the eve of trial, when the whole nation had a chance to focus on what Fox said internally about Trump, its sources and its own viewers, gave Dominion the extra layer of accountability it was seeking.”It is uncommon for defamation suits to get to trial, in part because the bar for proving “actual malice” — the legal standard that requires plaintiffs to show that defendants knew what they were saying was a lie, or had a reckless disregard for the truth — is so high. It is rarer yet for one to feature the volume of evidence that Dominion had amassed against Fox.In the run-up to trial, Dominion publicly released reams of internal communications among Fox executives, hosts and producers that revealed how the country’s most-watched cable news network set in motion a strategy to win back viewers who had tuned out after Mr. Trump’s loss. The messages tell the story of a frantic scramble inside Fox as it started losing audience share to competitors, like Newsmax, that were more willing to report on and endorse false claims about a plot involving Dominion machines to steal the election from Mr. Trump.Producers referred to pro-Trump guests like Sidney Powell and Rudolph W. Giuliani as “gold” for ratings and acknowledged that the audience didn’t want to hear about subjects like the possibility of a peaceful transition from a Trump administration to a Biden administration.Those communications have shown how employees at Fox expressed serious doubts about and, at times, were scornful of Mr. Trump and his allies as they spread lies about voter fraud, questioning the legitimacy of Mr. Biden’s election. Some at Fox mocked Mr. Trump and his lawyers as “crazy” and under the influence of drugs like L.S.D. and magic mushrooms.Some Fox hosts privately described their colleagues as “reckless” for endorsing Mr. Trump’s false claims, acknowledging that there was “no evidence” to back them up. Yet for weeks, Fox continued to give a platform to election deniers, despite doubts about their credibility. Dominion challenged statements made on multiple programs on multiple nights. Typically, defamation cases involve only a single disputed statement.The trial would have been a spectacle. Mr. Murdoch, whose family controls the Fox media empire, was slated to be one of Dominion’s first witnesses this week. Star anchors including Sean Hannity, Mr. Carlson and Ms. Bartiromo were likely to be called at other points.Even the most blockbuster media trials of the last generation — Ariel Sharon’s suit against Time and Gen. William C. Westmoreland’s against CBS, both in the 1980s — lacked the most explosive elements of this case, which raised weighty questions about the protections the First Amendment affords the media and whether one of the most influential forces in conservative politics would have to pay a price for amplifying misinformation.Both of those cases were settled out of court, too.In recent days, Fox raised questions about Dominion’s claims of damages. On Monday, it disputed Dominion’s worth, pointing to a recent legal filing in which the company lowered part of its request for compensation. Fox lawyers also raised doubts about the harm that Dominion had suffered, saying the company acknowledged that it had turned a profit in recent years.But the potential pitfalls for proceeding with a trial were real for Fox. Some of the revelations from the depositions that Dominion had conducted offered a preview of how damaging a trial could be. Mr. Murdoch acknowledged during his deposition that some Fox hosts had “endorsed” Mr. Trump’s lies, an admission that undercut Fox’s defense that it was merely reporting on — not amplifying — the former president’s claims.After the deposition concluded, the general counsel of Fox Corporation, Viet Dinh, tried to reassure Mr. Murdoch that he had done well.“I’m just going to say it. They didn’t lay a finger on you,” Mr. Dinh said.Mr. Murdoch disagreed, according to a person who witnessed the exchange. He pointed a finger at the lawyer who had questioned him for Dominion, Mr. Nelson, and said, “I think he would strongly disagree with that.”To which Mr. Nelson replied, “Indeed, I do.” More

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    2016 Trump Campaign to Pay $450,000 to Settle Nondisclosure Agreements Suit

    The settlement with a former campaign aide who says she was the target of sexual harassment effectively invalidates agreements hundreds of 2016 Trump campaign officials signed.Former President Donald J. Trump’s 2016 campaign will pay $450,000 as part of a settlement of a long court fight over its use of nondisclosure agreements, according to documents filed on Friday in a New York federal court.The proposed settlement with Jessica Denson, a former campaign aide whom the campaign tried to silence as she claimed she was the target of abusive treatment and sexual harassment by another campaign member, effectively invalidates the nondisclosure agreements that hundreds of officials from Mr. Trump’s first presidential run signed.Ms. Denson is set to receive $25,000, the filings show, and the rest will cover legal fees and other costs. The judge in the case, who has not yet approved the settlement, pushed back on efforts by the campaign to keep the paperwork sealed. The details were reported earlier by Bloomberg News.“We think that this N.D.A. was entirely unreasonable from the beginning,” said David K. Bowles, one of the lawyers for Ms. Denson, who initially represented herself in the case. “No attorney should have ever drafted it, and no campaign worker should have ever been compelled to sign it. We think the unwinding of the N.D.A. is a triumph for free speech, for democracy and for Jessica Denson, in particular, and we are very proud of our accomplishment tonight.”A representative for Mr. Trump’s 2016 campaign did not respond to emails seeking comment.Mr. Trump has made broad use of nondisclosure agreements throughout his business career and, later, his political career. The agreements have generally sought to keep people from disclosing information about Mr. Trump, but he has also used them as a cudgel against a wide variety of aides. In Ms. Denson’s case, her lawyers argued the agreement was overly broad, among other flaws.Ms. Denson had been trying to make the suit a certified class action shortly before the matter was settled. She has a separate case pending related to her claim that she was harassed by a superior on the campaign. More

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    Sean Hannity and Other Fox Stars Face Depositions in Defamation Suit

    The depositions are one of the clearest indications yet of how aggressively Dominion Voting Systems is moving forward with its suit against the media company.Some of the biggest names at Fox News have been questioned, or are scheduled to be questioned in the coming days, by lawyers representing Dominion Voting Systems in its $1.6 billion defamation suit against the network, as the election technology company presses ahead with a case that First Amendment scholars say is extraordinary in its scope and significance.Sean Hannity became the latest Fox star to be called for a deposition by Dominion’s legal team, according to a new filing in Delaware Superior Court. He is scheduled to appear on Wednesday.Tucker Carlson is set to face questioning on Friday. Lou Dobbs, whose Fox Business show was canceled last year, is scheduled to appear on Tuesday. Others who have been deposed recently include Jeanine Pirro, Steve Doocy and a number of high-level Fox producers, court records show.People with knowledge of the case, who would speak only anonymously, said they expected that the chief executive of Fox News Media, Suzanne Scott, could be one of the next to be deposed, along with the president of Fox News, Jay Wallace. Rupert and Lachlan Murdoch, whose family owns Fox, could follow in the coming weeks.The depositions are among the clearest indications yet of how aggressively Dominion is moving forward with its suit, which is set to go to trial early next year, and of the legal pressure building on the nation’s most powerful conservative media company. There have been no moves from either side to discuss a possible settlement, people with knowledge of the case have said.More Coverage of Fox News‘American Nationalist’: Tucker Carlson stoked white fear to conquer cable news. In the process, the TV host transformed Fox News and became former President Donald J. Trump’s heir.Empire of Influence: ​​A Times investigation looked at how the Murdochs, the family behind a global media empire that includes Fox News, have destabilized democracy on three continents.Defamation Case: ​​Legal scholars say that the $1.6 billion lawsuit filed by Dominion Voting Systems against the network could be one of the most consequential First Amendment cases in a generation.How Russia Uses Fox News: The network has appeared in Russian media as a way to bolster the Kremlin’s narrative about the Ukraine war.It is common for large media companies like Fox to settle such cases well before they reach the point where journalists or senior executives are forced to sit for questioning by lawyers from the opposing side. But both Dominion and Fox appear to be preparing for the likelihood that the case will end up in front of a jury.The suit accuses Fox of pushing false and far-fetched claims of voter fraud to lure back viewers who had defected to other right-wing news sources. In its initial complaint, Dominion’s lawyers framed their lawsuit as a matter of profound civic importance. “The truth matters,” they said, adding, “Lies have consequences.”The judge overseeing the case allowed Dominion in late June to expand the suit to include the cable news network’s parent company, Fox Corporation, potentially broadening the legal exposure of both Murdochs. Shortly after, Fox replaced its outside counsel on the case and hired one of the nation’s most prominent trial lawyers, Dan Webb.A spokesman for Fox Corporation has said that the First Amendment protected the company from the suit, and that any attempt by Dominion lawyers to put the Murdochs at the center of their case would be a “fruitless fishing expedition.”Both Dominion and Fox appear to be preparing for the case to go before a jury.Michael M. Santiago/Getty ImagesThe network is “confident we will prevail as freedom of the press is foundational to our democracy and must be protected,” a Fox News spokeswoman said in a statement. She added that the $1.6 billion in damages that Dominion is seeking are “outrageous, unsupported and not rooted in sound financial analysis.” According to court filings, Dominion estimates business losses at hundreds of millions of dollars and values the company at around $1 billion.Dominion’s legal complaint lays out how Fox repeatedly aired conspiracy theories about the company’s purported role in a plot to steal votes from former President Donald J. Trump, and argues that its business has suffered considerably as a result. Those falsehoods — including that Dominion was a pawn of the Venezuelan strongman Hugo Chavez and that its machines were designed with a feature that allowed votes to be flipped from one candidate to another — aired night after night as Fox hosts like Mr. Hannity and Mr. Dobbs allowed guests to make them on their shows, and in some cases vouched for them.Legal experts say the case is one of the most potentially consequential libel suits brought against an American media company in more than a generation, with the potential to deliver a judgment on a falsehood that has damaged the integrity of the country’s democratic system and remains an article of faith among many Trump supporters.Defamation is extremely difficult to prove in a case like this because of the broad constitutional protections that cover the news media. A company like Dominion has to prove either that a media outlet knew what it was publishing or broadcasting was false, or that it acted so hastily it overlooked facts proving that falsity, a legal standard known as demonstrating a “reckless disregard for the truth.”Dominion’s legal strategy, which it has detailed in court filings, hinges on getting testimony and unearthing private communications between Fox employees that prove either such recklessness or knowledge that the statements were false.The case has stirred considerable unease inside Fox all summer, as employees have had to turn over months of emails and text messages to Dominion lawyers and prepare for depositions. Other current and former Fox personalities who have been deposed include Dana Perino, Shepard Smith and Chris Stirewalt, who was part of the team that made the election night projection that Mr. Trump would lose Arizona, and the presidency as a result.This is not the first time that Mr. Hannity has been in the middle of a high-profile defamation suit. In 2018, Fox was sued by the parents of Seth Rich, a former Democratic National Committee staff member whom Mr. Hannity and others at Fox falsely linked to a hacking that resulted in committee emails being published by WikiLeaks. Mr. Rich was murdered in an apparent botched robbery in 2017, though conspiracy theorists tried to blame his death on Democratic operatives. Fox News later retracted some of its reporting on the story, saying it did not meet the network’s editorial standards.Fox settled the Rich case in the fall of 2020, before Mr. Hannity could be deposed. More

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    Trump Campaign Ordered to Pay $1.3 Million to Omarosa Manigault Newman in NDA case

    An arbitrator found Mr. Trump’s campaign owes the former White House aide and “Apprentice” star for legal fees, after he sued her for writing a tell-all book.A court arbitrator has ordered former President Donald J. Trump’s presidential campaign to pay nearly $1.3 million in legal fees to Omarosa Manigault Newman, the former “Apprentice” star, White House aide and author of the first tell-all book about the Trump White House.The award, handed down on Tuesday, concludes a protracted legal fight after Mr. Trump unsuccessfully sued Ms. Manigault Newman over her book, “Unhinged,” arguing that she had violated a nondisclosure agreement she had signed while working for his campaign in 2016.Mr. Trump lost the arbitration case in September 2021, one in a string of failed attempts to enforce nondisclosure agreements against former employees.Since the decision, both sides have continued to dispute the size of the award. Mr. Trump’s lawyers claimed Ms. Manigault Newman made bad-faith arguments and should not receive legal fees. But the arbitrator sided with her, noting the hefty expense of the case.“Respondent was defending herself in a claim which was extensively litigated for more than three years, against an opponent who undoubtedly commanded far greater resources than did respondent,” the arbitrator noted.A spokesman for Mr. Trump did not respond to an email seeking comment.Ms. Manigault Newman’s lawyers said they were struck by the amount that Mr. Trump’s campaign was ordered to pay.The award “hopefully will send a message that weaponized litigation will not be tolerated and empower other lawyers to stand up and fight,” said Ms. Manigault Newman’s lawyer, John Phillips, who provided a copy of the arbitrator’s ruling on the fees.Ms. Manigault Newman met Mr. Trump in 2004 during the first season of his reality television show, “The Apprentice.” Twelve years later, she helped Mr. Trump court skeptical Black voters during his 2016 campaign for the presidency. When he won, she followed him to the White House, and was ultimately dismissed from her job.Her book, published in August 2018, depicted a chaotic White House and was the first of several books written by former Trump presidential aides. She also released audio recordings of her conversations related to Mr. Trump. In one recording, Mr. Trump’s daughter-in-law, Lara Trump, appeared to offer Ms. Manigault Newman a campaign contract in exchange for her staying quiet about her criticisms of the president and his family.Mr. Trump, who has often used the courts in disputes, sued Ms. Manigault Newman, and the suit played out over three years.The legality of such nondisclosure agreements, which Mr. Trump has favored for many years as a private businessman, has been a subject of debate before. But their efficacy has come into question in recent months. In March, Mr. Trump’s campaign was ordered to pay more than $300,000 in legal fees to a former campaign aide who said that the candidate had forcibly kissed her. The campaign sued, arguing she had violated the terms of her nondisclosure agreement. The judge in the case called the agreement “vague and unenforceable.” More

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    N.A.A.C.P. Sues Trump and Giuliani Over Election Fight and Jan. 6 Riot

    #masthead-section-label, #masthead-bar-one { display: none }Campaign to Subvert the 2020 ElectionKey TakeawaysTrump’s RoleGeorgia InvestigationExtremist Wing of G.O.P.AdvertisementContinue reading the main storySupported byContinue reading the main storyN.A.A.C.P. Sues Trump and Giuliani Over Election Fight and Jan. 6 RiotThe civil rights group brought the suit on behalf of Representative Bennie Thompson of Mississippi, with other Democrats in Congress expected to join as plaintiffs.Representative Bennie Thompson, Democrat of Mississippi, filed a lawsuit on Tuesday against former President Donald J. Trump and others over the Jan. 6 riot at the Capitol.Credit…Anna Moneymaker/The New York TimesFeb. 16, 2021, 10:00 a.m. ETWASHINGTON — The N.A.A.C.P. on Tuesday morning filed a federal lawsuit against former President Donald J. Trump and his personal lawyer Rudolph W. Giuliani, claiming that they violated a 19th century statute when they tried to prevent the certification of the election on Jan. 6.The civil rights organization brought the suit on behalf of Representative Bennie Thompson, Democrat of Mississippi. Other Democrats in Congress — including Representatives Hank Johnson of Georgia and Bonnie Watson Coleman of New Jersey — are expected to join as plaintiffs in the coming weeks, according to the N.A.A.C.P.The lawsuit contends that Mr. Trump and Mr. Giuliani violated the Ku Klux Klan Act, an 1871 statute that includes protections against violent conspiracies that interfered with Congress’s constitutional duties; the suit also names the Proud Boys, the far-right nationalist group, and the Oath Keepers militia group. The legal action accuses Mr. Trump, Mr. Giuliani and the two groups of conspiring to incite a violent riot at the Capitol, with the goal of preventing Congress from certifying the election.The suit is the latest legal problem for Mr. Trump: New York prosecutors are investigating his financial dealings; New York’s attorney general is pursuing a civil investigation into whether Mr. Trump’s company misstated assets to get bank loans and tax benefits; and a Georgia district attorney is examining his election interference effort there. In the lawsuit, Mr. Thompson said he was forced to wear a gas mask and hide on the floor of the House gallery for three hours while hearing “threats of physical violence against any member who attempted to proceed to approve the Electoral College ballot count.” Mr. Thompson also heard a gunshot, according to the suit, which he did not learn until later had killed Ashli Babbitt, one of the rioters in the Capitol lobby.Mr. Thompson is seeking compensatory and punitive damages in the lawsuit filed in Federal District Court in Washington. The suit does not include a specific financial amount.Mr. Thompson, 72, claims he was put at an increased health risk by later being required to shelter in place in a cramped area that did not allow for social distancing. The lawsuit notes that Mr. Thompson shared confined space with two members of Congress who tested positive for the coronavirus shortly after the attack at the Capitol.In an interview on Monday, Mr. Thompson said he would not have brought the suit against Mr. Trump if the Senate had voted to convict him in last week’s impeachment trial.“I feared for my life,” Mr. Thompson said. “Not a day passes that I don’t think about this incident. I was committed to seeing justice brought to this situation.”He added: “This is me, and hopefully others, having our day in court to address the atrocities of Jan. 6. I trust the better judgment of the courts because obviously Republican members of the Senate could not do what the evidence overwhelmingly presented.”Mr. Thompson said he had already received a second dose of a Covid vaccine by Jan. 6 and therefore did not quarantine after his close contacts with colleagues who tested positive. But he noted, “There were a number of members who were very concerned about being housed in those numbers with people refusing to wear masks.”Both Democratic and Republican members of Congress have recently raised the prospect of Mr. Trump being held accountable in the courts for the riot. Senator Mitch McConnell, the Republican leader, voted to acquit Mr. Trump in the impeachment trial but then appeared to encourage people to take their fight to the courts.“He didn’t get away with anything, yet,” Mr. McConnell said at the trial’s conclusion, noting: “We have a criminal justice system in this country. We have civil litigation.”Derrick Johnson, president of the N.A.A.C.P., said the decision to seek compensatory and punitive damages was rooted in a history of tools that have worked to fight back against white supremacy.“The Southern Poverty Law Center filed a lawsuit against the Ku Klux Klan that bankrupted a chapter,” he said, referring to a 2008 judgment against a Kentucky-based Klan outfit that ordered the group to pay $2.5 million in damages. “This is very similar. If we do nothing, we can be ensured these groups will continue to spread and grow in their boldness. We must curb the spread of white supremacy.”While much of the focus of the impeachment trial rested on how the violent mob was threatening former Vice President Mike Pence as well as congressional leaders like the House speaker, Nancy Pelosi, N.A.A.C.P. officials said the attack was deeply rooted in racial injustice.“Underlying this insurrection were the actions of folks who were challenging the voices of people of color,” said Janette McCarthy Louard, deputy general counsel of the N.A.A.C.P. “If you look at whose votes were being challenged, these came from largely urban areas. The votes of people of color were being challenged.”The suit, for instance, charges Mr. Giuliani with attempting to reject “the votes cast by voters in Detroit, the population of which is 78 percent African-American.” It also says Mr. Giuliani inaccurately claimed there was fraud in voting in Milwaukee and Madison, Wis., “both of which have large African-American populations.”Joseph M. Sellers, a partner at the civil rights law firm Cohen Milstein Sellers & Toll, which jointly filed the case, said the lawsuit named Mr. Trump in his personal capacity because his conduct challenging another branch of government to do its job falls outside the official duties of the president.“He was engaging in conduct that is so far outside any remotely legitimate scope of his presidential duties,” Mr. Sellers said. “He no longer has the immunity of the president.”AdvertisementContinue reading the main story More

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    The $2.7 Billion Case Against Fox News

    AdvertisementContinue reading the main storyThe DailySubscribe:Apple PodcastsGoogle PodcastsThe $2.7 Billion Case Against Fox NewsSmartmatic, an election technology company, filed a billion-dollar lawsuit against the network over what the company says are false claims about its role in the 2020 election. We hear from Smartmatic’s C.E.O. and lawyer.Hosted by Ben Smith; produced by Rachel Quester, Neena Pathak and Alix Spiegel; edited by Lisa Tobin and Mike Benoist; and engineered by Chris Wood.More episodes ofThe DailyFebruary 5, 2021  •  More