Dominion Voting Systems Corp

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      Dominion’s CEO: Why We Settled the Fox News Lawsuit

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      Vindication. Shame. Triumph. Tragedy. Surrender. These are a few of the characterizations I’ve heard following our recent settlement with Fox News in our historic defamation case against the network for its lies about Dominion Voting Systems and the 2020 election.The public has complicated feelings about our decision to end this trial before it ever began, and that’s OK. It’s bittersweet for us, too.We’ve seen the havoc that lies create for societies, democracies, businesses and families. Over the past two and a half years, I’ve watched it firsthand. My customers, employees, family and friends face harassment, discrimination and threats to this day.But for us at Dominion, when we reflect on the case and its outcome, we think about our first and foremost goal: accountability.On Tuesday, when we proudly walked into the Delaware Superior Court, we were going to trial. We knew our case was incredibly strong, and I still believe that at the end of the six-week trial, the jury most likely would have agreed.We had reviewed more than a million internal Fox documents and deposed dozens of people, and Fox’s legal team had reviewed more than a million of ours. Then, in a summary judgment ruling on March 31, the court allowed the case to proceed and dismantled many of Fox’s legal defenses, ruling its claims about Dominion were clearly false and it could not seek refuge in arguments about the lies’ newsworthiness.At trial, we weren’t expecting any more shocking revelations — we frankly didn’t need any more. From the earliest days of discovery, we knew our employees, our customers and the American public needed to see what we had found, and that is exactly what we presented in our pretrial filings and exhibits.With that goal now met, we were focused on our obligations to our people — many of whom were set to testify, when they would recount trauma caused by the threats, violence and hate surfaced by lies about Dominion. I’d already seen some of them suffer emotionally during their depositions, and I worried deeply that a trial and associated media attention would cause only more lasting pain.The settlement we negotiated accomplished two critical goals: allowing our employees and customers to move forward, and hitting Fox where it hurt most — its bank account.What was missing was an apology, so I myself drafted one for it that I thought would be appropriate to include. When I read it to my business partner, he asked what I thought about mandating Fox issue an apology that would be forced, insincere and limited. At that moment, I threw my draft in the garbage.An hour later, when the Fox board approved the wire payment for $787.5 million — one of the largest known defamation settlements in history — Fox acknowledged what we needed it to acknowledge: spreading false claims comes with a huge price tag.Even so, nothing can ever fully compensate for what happened. The stain on my company’s reputation and our employees’ and customers’ emotional scars can only fade. They won’t ever vanish.If we could, we would trade it all in a heartbeat to go back in time to get our reputation back. But I take solace in the fact that the public has seen the enormous mountain of evidence proving what Fox did, and Fox paid dearly for it.Our settlement with Fox is just one win on a long road. We have six more defamation cases pending: against Mike Lindell and his company, MyPillow; Rudy Giuliani; Sidney Powell; Patrick Byrne; One America News Network; and Newsmax. We will not stop until we hold all parties to full account.By the way, it’s never too late for an apology. And if one day it comes of Fox’s own volition, we will know it was real.Mr. Poulos is a co-founder and the chief executive of Dominion Voting Systems.The Times is committed to publishing a diversity of letters to the editor. We’d like to hear what you think about this or any of our articles. Here are some tips. And here’s our email: letters@nytimes.com.Follow The New York Times Opinion section on Facebook, Twitter (@NYTopinion) and Instagram. More

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      Did Fox News Just Pay for the Privilege of Continued Corruption?

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      In many legal settlements, both sides declare victory. The settlements themselves are often confidential, or are for amounts so far below the plaintiff’s original demand that a defendant can argue, with a straight face, that he settled essentially to make the case go away. Rather than deal with the risk of a rogue jury, defendants can settle for a reasonable sum and then often, in exchange for the cash, gain the silence of the plaintiff. The public, to the extent it cares, is left to argue over what “victory” truly meant.Not so with Dominion’s settlement against Fox. The moment the amount of the settlement emerged — $787,500,000 — I knew that Dominion had won and Fox had lost, and it wasn’t even close. The reason was clear to anyone who’d followed the case carefully: Damages, not guilt, were the weakest part of Dominion’s case. It had asked for $1.6 billion in damages, based in part on a theory outlined in the complaint that Fox’s “viral disinformation campaign” had “destroyed the enterprise value of a business that was worth potentially more than $1 billion.”To call that claim speculative is an understatement. According to a 2020 report in Forbes, Dominion had been paid $118.3 million for its election services between 2017 and 2019. I’ve litigated lost profit/lost enterprise value cases, and I know how difficult it is to prove estimated future financial fortunes.In other words, it was going to be straightforward to prove that Fox employees lied and deliberately platformed lies. It was going to be much harder to prove the kind of damages that Dominion claimed. Then, in the settlement, Fox paid Dominion a sum larger than Dominion could reasonably presume a jury would require. Why?This brings us to the difference between justice and accountability. The legal system can achieve justice when an aggrieved party is made whole. And make no mistake, Dominion received justice. It was more than made whole for Fox’s lies, and its quest for even more justice continues. Its lawsuits against OAN, Newsmax, Sidney Powell, Rudy Giuliani and Mike Lindell are still pending.But accountability is different. Accountability occurs when the people responsible for misconduct — and not merely their corporate bank accounts — experience proportionate consequences for their actions. One of the #MeToo movement’s greatest achievements was exposing to the world the degree to which corporations essentially paid for the privilege of continued corruption. They’d write checks to the survivors of abuse (granting them justice) without taking action against the abusers (enabling them to avoid accountability).This is not a critique of the plaintiffs at all. They need justice, and they don’t have the power to impose accountability. They can’t mandate that corporations apologize or terminate employees without the agreement of the corporation. The system itself can generally only give them money. Do we want to ask people who’ve been harmed by misconduct to delay or risk their own quest for justice for the sake of using the settlement process to mandate apologies or terminations that the courts don’t have the power to compel?The end result, however, is a system whereby wealthy institutions can essentially build in their corruption as a cost of doing business. In 2021, for example, my wife and I published a report detailing years of sexual abuse at one of the largest and most prominent Christian summer camps in America, Kanakuk Kamp. The pattern there was clear: pay survivors, get them to sign confidential settlements, and continue on with the same leaders who had abjectly failed to protect the kids in their care.The Fox settlement reeks of justice without accountability. Not only is Fox not publicly apologizing for its misconduct, it has released deceptive descriptions of the settlement and the court’s findings. Its initial statement said in part: “We acknowledge the court’s rulings finding certain claims about Dominion to be false. This settlement reflects Fox’s continued commitment to the highest journalistic standards.”That is not what the settlement reflects. The settlement reflects Fox’s abandonment of even the most minimal journalistic standards.Fox’s “news” story about the settlement was perhaps even worse. The headline stated that “Fox News Media, Dominion Voting Systems reach agreement over defamation lawsuit,” but it didn’t state the amount of the settlement and instead mainly focused on the judge’s compliments of Fox’s legal team. No, really:Delaware Superior Court Judge Eric Davis, who was overseeing the defamation lawsuit, praised both parties for their handling of the case.“I have been on the bench since 2010. … I think this is the best lawyering I’ve had, ever,” Davis said, adding, “I would be proud to be your judge in the future.”No mention, of course, that less than a week before, the same judge rebuked Fox’s lawyers, said he was concerned about “misrepresentations to the court” and lamented, “What do I do with attorneys that aren’t straightforward with me?” And then the Fox story ends with this howler of a paragraph:Then-President Donald Trump and his allies fiercely challenged Joe Biden’s victory in the weeks following the election. Some of them, including members of his legal team, made false and unsubstantiated claims against Dominion Voting Systems and are the subject of separate defamation lawsuits.Note the deflection of responsibility. It was Trump’s legal team that made “false and unsubstantiated claims.” That’s unquestionably true, but those same lawyers were enthusiastically put on the air by Fox for the purpose of spreading their “false and unsubstantiated claims.” And as the court’s summary judgment ruling made clear, Fox employees also made what they knew to be false and unsubstantiated claims.The end result is that Fox has paid an immense price for its lies, but it recognizes that its true vulnerability isn’t in its bank account but in its audience. It can absorb huge financial losses so long as those losses are fleeting. It cannot prosper if it loses its audience. Shielding its audience from the truth is easily worth almost $800 million to a company that made $1.2 billion in net income last year and is sitting on $4 billion in cash reserves.In the meantime, many of the viewers who keep the company so very profitable won’t know anything meaningful about the Dominion settlement or Fox’s lies — because Fox won’t tell them. I can think of any number of friends, relatives and neighbors who regularly consume conservative media and know nothing about the case. They know nothing about Fox’s falsehoods. Their ignorance is of incalculable worth to Fox.While this newsletter is admittedly rather bleak even in the face of Fox’s decisive court defeat, the story is far from over. Smartmatic’s $2.7 billion lawsuit against Fox is pending in New York State court in Manhattan, and the larger right-wing media world is facing a series of reckonings in cases across the country. My friends at Protect Democracy have filed cases against Project Veritas, Gateway Pundit, Rudy Giuliani, Dinesh D’Souza and several additional defendants related to some of the most grotesque lies in the entire Stop the Steal effort.There is a chance that great weight of legal judgments will lead to legal accountability. Justice can be so punishing that even the most amoral institutions have to respond as a matter of self-preservation. But true accountability remains elusive.Indeed, the Dominion lawsuit is perfectly representative of a vital lesson we’ve learned during the Trump era. The law can stave off disaster, but only moral norms truly preserve the republic. The law (and law enforcement) blocked Trump’s attempted coup. Legal processes are underway to hold Trump responsible for his alleged criminal misdeeds. Court cases are likely to compensate multiple victims of defamation for their profound losses. Yet still our public square is overrun with ignorance and outright lies. A Machiavellian spirit stalks the land.But the legal system does give our nation a chance to come to its senses. In the words of the old Fox show “The X-Files,” “The truth is out there.” Not only did Dominion receive justice, but its litigation gave the public the gift of truth. Now it’s incumbent on our nation to receive that truth and react accordingly. Fox News has tried to purchase the privilege of continued corruption, but even its vast bank account can’t protect it from the public — but only if that public possesses a trace of curiosity and preserves a moral core. More

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      Fox Settlement Is a Victory for Dominion. But the Misinformation War Continues.

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      False claims about election fraud remain a problem, spreading in various places online, voting and media experts said.There are 787 million reasons to consider Fox News’s settlement of the defamation lawsuit a stunning victory for Dominion Voting Systems. Whether the millions of dollars that Fox is paying to Dominion will put to rest false claims about the 2020 presidential election or help deter misinformation more broadly remains far less clear.In the blinkered information bubbles where the lies about Dominion’s rigging the vote were fabricated and spread, conspiracy theories about the company continue to thrive — at least among those resistant to overwhelming evidence, including new disclosures about Fox News and its most famous hosts that Dominion’s lawsuit revealed.And Dominion is only one part of a broader conspiracy theory that the American electoral system is corrupt. That view, despite all the proof to the contrary, is still cheered on by former President Donald J. Trump, who remains the front-runner for the Republican nomination in 2024.“Part of the strength of that conspiracy theory is that it has so many different strands that yield the conclusion of a rigged election that you could actually destroy one thread or one strand, and you’d still have enough strands to sustain it,” Kathleen Hall Jamieson, director of the Annenberg Public Policy Center at the University of Pennsylvania and a founder of FactCheck.org.The $787.5 million settlement, one of the largest ever for a defamation case, undoubtedly has a punitive effect on Fox, even though it allowed the company to avoid a potentially embarrassing trial. Like the verdicts last year against Alex Jones, the broadcaster who defamed the families of schoolchildren killed in Sandy Hook Elementary School and was ordered to pay them more than $1.4 billion, the outcome showed that lies can be costly for those who spread them.Alex Jones was found liable for defamation after spreading falsehoods about the Sandy Hook school shooting.Kirsten Luce for The New York TimesYet Mr. Jones has continued his broadcasts on Infowars, the conspiratorial news site, while employing legal strategies that could help him evade some of the financial penalty.For researchers who study disinformation, the abrupt end to the lawsuit against Fox dashed hopes that a lengthy trial — with testimony from hosts who repeated accusations against Dominion they knew to be false — would do more to expose the dangerous consequences of pushing falsehoods and conspiracies.Nora Benavidez, senior counsel at Free Press, an advocacy group for digital rights and accountability, was among those expressing disappointment. She said that the settlement — for half of what Dominion originally sought — reflected Fox’s “desire to avoid further damning facts coming out during trial.”“Yet money alone won’t bring us accountability, and it doesn’t correct the ongoing harms Fox News causes to democracy,” she said. “If $787.5 million is the cost to tell a lie, repeatedly, what’s the cost of curing that lie?”Fox was spared extended and potentially damaging testimony. The network did not have to issue an apology on air. Instead, in a carefully crafted statement, Fox acknowledged “the court’s rulings finding certain claims about Dominion to be false” and touted its “continued commitment to the highest journalistic standards.”While the major news networks pivoted to cover the trial’s abrupt end on Tuesday, Fox devoted just six minutes and 22 seconds to the topic across three segments. None of its prime time hosts, including Tucker Carlson, who had once bolstered the voter fraud myths and was named as a defendant in Dominion’s lawsuit, mentioned the case.Instead, Mr. Carlson began his show with a segment about violence in Chicago, airing video clips largely showing Black Chicagoans during a weekend of violence. “This is why we used to shoot looters,” he said. That was followed with an interview with Elon Musk, the entrepreneur and new owner of Twitter.“So what would you be thinking about when you’re watching Tucker Carlson?” Ms. Jamieson said. “Not the Fox settlement, but crime in the cities, interesting interview with Musk. And now our media diet for the day has told you what matters.”None of Fox’s prime time hosts, including Tucker Carlson, mentioned the settlement on air.Rebecca Noble for The New York TimesA similar phenomenon unfolded in other news organizations on the political right in the wake of the settlement. The Gateway Pundit, a site known for pushing voter fraud conspiracy theories, devoted one 55-word story to the settlement on Tuesday, which was not updated.Far more words were expressed in comments left by readers, where nearly 4,000 missives raised fresh conspiracy theories. Among them was a tale that Fox News’s settlement was actually a shrewd maneuver that would help Dominion extract debilitating sums from Fox competitors, including the conservative news networks One America News and Newsmax, which have also been sued by Dominion.In the two hours following the settlement’s announcement, there was a significant spike in references online to the discredited film “2000 Mules,” which spun an elaborate theory of people delivering thousands of ballots in drop boxes, according to Zignal Labs, a company that tracks activity online. The references surged again on Wednesday after a prominent commentator on Twitter, Rogan O’Handley, chided those “cheering over” the settlement. “We know it was rigged,” he wrote.On Telegram, the freewheeling social media app,users claimed without evidence that the deal was a way for Fox to launder money; that the network was in cahoots with Dominion to engineer an election coup; that Dominion was trying to avoid a trial that would expose its corrupt practices; and that the judicial system was controlled by the Mafia.Even if the Dominion victory makes news organizations think twice before reporting lies about election technology vendors in the future, the damage has already been done.Lawrence Norden, the senior director of the elections and government program at the Brennan Center for Justice at New York University, said the settlement would do little to protect election workers who were abused by anonymous conspiracy theorists or voters led astray by false narratives about ballot fraud.“Lies about our elections have really inundated our society, and I don’t think that’s changing,” he said. “Not all of those lies involve the potential for a defamation suit; it’s really the extreme cases where people are going to be able to collect monetary damages.”Legal experts said that the Dominion case against Fox had several important characteristics that set it apart. The voting technology company had compiled evidence suggesting that some Fox hosts had shared the false election fraud narrative with viewers despite privately expressing serious misgivings about the claims. The company had also submitted filings claiming that the election lies repeated by Fox caused Dominion to lose business.In fact, the judiciary has emerged as a bulwark in the fight against false information, and not only in extreme cases focused on defamation, like those involving Fox News or Mr. Jones. Court after court rejected legal challenges to the balloting in 2020 for lack of evidence. This week, an arbitration court ordered Mike Lindell, the chief executive of My Pillow, who claimed among other things that China had rigged the vote, to pay a $5 million reward to a software engineer who debunked the claims as part of a “Prove Mike Wrong” contest.The legal traditions that allowed Dominion’s lawyers to receive the damning emails of Fox executives and anchors and make them part of the public record were essential in proving the allegations were baseless as a matter of record.“Before we give up on the capacity of the system to work to determine what constitutes knowable fact in the moment, we should say the courts have worked well up to this point,” Ms. Jamieson said.Election misinformation will almost certainly remain a problem heading into the 2024 presidential election. Dealing with it will be difficult, but not hopeless, Mr. Norden said. While some hard-core conspiracy theorists may never be convinced of the legitimacy of the vote, many people are simply unfamiliar with the mechanics of American elections and can have more faith in the system if exposed to accurate information.“We know what’s coming, and there’s an opportunity ahead of the next election to build more resilience against that with most of the public,” Mr. Norden said. “I don’t think we’re going to solve this problem through defamation suits alone, but there’s a lot that we can be doing between now and November 2024.” More

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      Fox News Remains an Aberration in American Journalism

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      The decision by Dominion Voting Systems on Tuesday to settle its defamation suit against Fox News is no doubt a disappointment to the many people who have been viciously demeaned and insulted by the network’s hosts over the years and who now won’t get to see those hosts writhe on the witness stand as they are forced to admit their lies. But the settlement is also a lost opportunity for the profession of journalism.A six-week trial, especially if it ended in a victory for Dominion, could have demonstrated to the public in painstaking detail what an abject aberration Fox has become among American news organizations. In-person testimony would have illustrated what the pre-trial evidence had begun to show: that Fox hosts and executives knew full well that the conspiracy theories they peddled about the outcome of the 2020 election were false, but they broadcast them anyway to hang on to viewers who didn’t want to hear the truth. A loss by Fox, with a staggering damage award, would have demonstrated that its behavior was so exceptional and outrageous that it had to be punished.People inclined to believe that all news organizations deliberately lie to build their audience may not consider Fox’s actions to be the least bit aberrant. But if that were true, there would be a lot more trials like the one that almost happened in this case. In fact, there have been very few media trials in recent years — usually in the single digits each year, according to one study — compared with the thousands of civil trials each year. Most defamation cases are dismissed before they ever get near a trial, in part because the plaintiff could not come close to proving a news organization met the “actual malice” standard set out in the landmark New York Times v. Sullivan case of 1964, but also often because the plaintiff couldn’t even convince the judge that the defamatory material was false. News organizations also win dismissals by persuading judges that the material at issue was a legitimate opinion or was a “fair report” of allegations made at a public meeting or trial.Fox couldn’t persuade a judge of any of those defenses. In fact, the judge in this case, Eric Davis, ruled in March that it “is CRYSTAL clear that none of the statements relating to Dominion about the 2020 election are true” — a decision that was a huge setback for Fox and may have led to its eagerness to settle the case.Most defamation cases that are not dismissed are settled before trial, and the Dominion case essentially fits that pattern even though a jury had already been selected. But the size of the monetary settlement that Fox must pay, $787.5 million, also makes it a huge outlier. The next-largest publicly disclosed settlement of a defamation case against a major news organization was reached in 2017, when ABC News settled a case for at least $177 million. (Alex Jones, who was ordered last year to pay over $1.4 billion to families of victims in the Sandy Hook shooting, is not part of a legitimate news organization.)Still, nothing would have compared with a full-length trial in this case and a victory for Dominion, which many legal experts said was a strong possibility. That kind of defeat for a major news organization almost never happens, and the reason is that unlike their counterparts at Fox, journalists in conventional newsrooms don’t actually plot to deceive their audiences. They might make mistakes, they might be misled by a source or cast a story in a way they later regret, but with very rare exceptions they don’t deliberately lie.The emails and text messages demonstrating Fox’s knowing deceit, which came out in pre-trial discovery, were shocking both in their cynicism and in their deviation from industry norms. Vociferous press critics on the right and the left will scoff at this notion, but the fact is that journalists in functional newsrooms want to tell the truth. And they do so not because they fear getting sued but because that’s why they got into the business. I’ve worked for more than four decades in six American newsrooms, large and small, and the pattern of behavior shown by Fox would have been unthinkable in any of them at any time.That’s why a loss by Fox would not have raised significant press freedom issues, nor would it have increased the threat that journalists would regularly be sued for defamation. Because of the Sullivan case, news organizations are protected from libel judgments if they do not recklessly disregard the truth or engage in actual malice, which almost all newsrooms scrupulously avoid doing. Fox, however, sped right past those red lights, got caught and then spent an enormous amount of money to avoid the stain of a potential guilty verdict and the spectacle of its chairman, Rupert Murdoch, testifying to its dysfunction. (The company again demonstrated its disdain for the truth by issuing a statement on Tuesday afternoon saying the settlement demonstrated its “commitment to the highest journalistic standards.”) A second chance at clarity is coming with a libel suit against Fox by a different voting-technology company, Smartmatic. Maybe this time the opportunity to perform a public service by conducting a trial will outweigh the temptation of a Fox settlement offer.The Times is committed to publishing a diversity of letters to the editor. We’d like to hear what you think about this or any of our articles. Here are some tips. And here’s our email: letters@nytimes.com.Follow The New York Times Opinion section on Facebook, Twitter (@NYTopinion) and Instagram. More

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      Fox Settles Dominion Suit, but Smartmatic Case and Others Loom

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      Another election technology company, Smartmatic, is suing news outlets, including Fox, over false claims of election fraud, and Dominion has other cases pending.On Tuesday, Fox News hastily agreed to pay $787.5 million to resolve a defamation suit filed by Dominion Voting Systems — among the largest settlements ever in a defamation case — just hours after the jury for the trial was selected. In addition to the whopping financial settlement, Fox conceded that “certain claims” it had made about Dominion were false.In settling with Dominion, the network avoided the possible embarrassment of a trial that could have exposed its inner workings. Rupert Murdoch, the 92-year-old Fox News founder, and the Fox host Tucker Carlson were potential witnesses.Dominion sued the cable news network two years ago, after it aired stories falsely claiming that Dominion’s voting machines were susceptible to hacking and had flipped votes to Joseph R. Biden Jr. that had been cast for Donald J. Trump, who was president.But the settlement with Dominion is not the only legal action that some news outlets are facing after making bogus claims about the 2020 elections.Dominion v. NewsmaxNewsmax apologized in 2021 for spreading false claims that a Dominion employee rigged voting machines.Callaghan O’Hare/ReutersIn 2021, the right-wing news outlet Newsmax formally apologized for spreading false allegations that an employee of Dominion had rigged voting machines. In a statement on its website, Newsmax said it had found “no evidence” that the Dominion employee, Eric Coomer, had manipulated voting machines in an effort to sabotage Mr. Trump’s re-election bid.“On behalf of Newsmax, we would like to apologize for any harm that our reporting of the allegations against Dr. Coomer may have caused to Dr. Coomer and his family,” the statement said.Dominion also sued Mike Lindell, the chief executive of MyPillow and an outspoken supporter of the former president, and two of Mr. Trump’s lawyers, Sidney Powell and Rudy W. Giuliani, for their baseless claims about election fraud. In 2021, a federal judge refused to throw out the suits against them. And in October, the Supreme Court declined to consider Mr. Lindell’s bid to fend off his suit. This month, he told The New York Times, “I will never back down, ever, ever, ever.” The lawsuits are ongoing.Smartmatic v. Fox NewsIn 2021, Fox News was also sued by Smartmatic, which provided voting technology in Los Angeles County for the 2020 election. In its complaint, Smartmatic wrote, “Fox joined the conspiracy to defame and disparage Smartmatic and its election technology and software,” adding, “The story led a mob to attack the U.S. Capitol.” The suit, filed in New York State Supreme Court, seeks at least $2.7 billion in damages.In February, a New York appeals court denied Fox’s request to dismiss the case, and a New York judge said last month that the case could proceed. A trial date has not been set.“We will be ready to defend this case surrounding extremely newsworthy events when it goes to trial, likely in 2025,” Fox News said in a statement on Wednesday.Smartmatic v. NewsmaxSmartmatic also brought defamation litigation against Newsmax, accusing it of spreading falsehoods about the company. Judge Eric M. Davis, who was also assigned to the Fox-Dominion trial, will preside. In February, Newsmax lost its bid to end the litigation, and Judge Davis let the case move forward.Smartmatic v. One America NewsThe headquarters of One America News in San Diego.The New York TimesIn 2021, Smartmatic also sued One America News Network, accusing the news organization of airing disinformation about the 2020 election even after the company warned it to stop. In June, a judge denied a request to dismiss the lawsuit.Lou DobbsThis month — days before jury selection began for the Dominion case — Fox News and Lou Dobbs, a former longtime Fox Business host and loyal Trump supporter, settled a defamation case with Majed Khalil, a Venezuelan businessman. Mr. Dobbs and Ms. Powell, a regular guest on Fox News, falsely claimed on the air and in related Twitter posts that Mr. Khalil had been part of a conspiracy to flip votes. One of the tweets said he was “the effective ‘COO’ of the election project.” Fox canceled Mr. Dobbs’s show in February 2021. More

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      What Next for Dominion After Its $787.5 Million Fox Settlement

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      The election technology company has several more defamation lawsuits pending against public figures and news outlets.Dominion Voting Systems did more on Tuesday than settle its lawsuit against Fox News for $787.5 million: It also set the tone for the many related defamation cases it has filed. Legal experts say the settlement with Fox News, one of the largest defamation payouts in American history, could embolden Dominion as it continues to defend its reputation, which it says was savaged by conspiracy theories about vote fraud during the 2020 election. The company has several cases pending against public figures including Mike Lindell, the MyPillow executive, and news outlets such as Newsmax.The targets of Dominion’s remaining lawsuits, few of which have deep pockets and legal firepower at Fox’s level, will likely take a cue from Dominion and Fox’s face-off, legal experts said.“Even though it was a settlement, it certainly was a victory for Dominion,” said Margaret M. Russell, a law professor at Santa Clara University. “For other possible defendants, I don’t think this will make them double down; it will make them fearful.”Dominion is the second-largest election technology company operating in the United States, where there are few other major players. The company, whose majority owner is the private equity firm Staple Street Capital, was made “toxic” by the false fraud narratives in 2020, one of Staple Street’s founders said in court documents. At one point, Dominion estimated that misinformation cost it $600 million in profits.Fox said in its court filings that Dominion did not have to lay off employees, close offices or default on any debts, nor did it suffer any canceled business contracts as a result of the news network’s coverage. Fox said in one filing that Dominion had projected $98 million in revenue for 2022, which would make Tuesday’s settlement the equivalent of eight years of sales.Dominion’s customers are largely officials who oversee voting in states and counties around the country; the company served 28 states, as well as Puerto Rico, in the 2020 election. The false stories about fraud that were directed at the company were embraced by some local election officials.In court documents, an expert enlisted by Dominion said that the company had very low early contract termination rates and very high contract renewal rates before the 2020 election, but blamed the preoccupation with the false fraud claims for prompting some clients to exit deals after the vote.Now, Dominion has emerged from its tussle with Fox in a stronger position to win back any skittish clients or score new business, legal experts said.Last month, the judge in Dominion’s case against Fox reviewed evidence of the false claims and wrote that it “is CRYSTAL clear that none of the statements relating to Dominion about the 2020 election are true,” effectively confirming that the company was aboveboard.The secretary of state of New Mexico, Maggie Toulouse Oliver, applauded Tuesday’s settlement.“The harm done by election lies/denialism since 2020 is immeasurable, but this settlement against Fox News provides accountability & sends a strong message we’re happy to see,” Ms. Toulouse Oliver wrote on Twitter. During the midterm primaries last year, she blamed “unfounded conspiracy theories” when she sued officials in Otero county who had cited concerns about Dominion machines in their refusal to certify election results.Fox acknowledged in a statement on Tuesday that some of the claims it had made about Dominion were false, saying that the admission “reflects Fox’s continued commitment to the highest journalistic standards.”John Poulos, Dominion’s founder and chief executive, said in a statement on Tuesday that Fox caused “enormous damage” to his company and “nothing can ever make up for that.” He also thanked the election officials who make up Dominion’s clientele, and nodded to Staple Street’s support. “Lies have consequences,” a lawyer for Dominion Voting Systems said during a news conference.Pete Marovich for The New York TimesDominion drew some complaints that by settling, it had given up the opportunity to extract an apology from Fox or force it through a potentially embarrassing trial. An opinion article in the Daily Beast bemoaned that the voting technology company had “decided to step out of the ring with a bag of money instead of vanquishing one of the country’s most destructive and influential peddlers of hate and disinformation.”Mr. Poulos called the settlement “a big step forward for democracy” in an interview with ABC News broadcast on Wednesday.Legal experts noted that even if Dominion had prevailed in a jury verdict, it would have risked years of expensive battles over appeals from Fox.“The tort of defamation is not about saving democracy from liars,” said Enrique Armijo, a professor and First Amendment expert at Elon University School of Law. “It’s about saving the reputation of the people who have been lied about and making those liars compensate them for the harms to their reputations.”Fox still faces other legal challenges, including a $2.7 billion defamation lawsuit from another election technology company, Smartmatic. Fox said it planned to defend freedom of the press in the case and called Smartmatic’s damages claims “outrageous, unsupported and not rooted in sound financial analysis.” Smartmatic said in a statement that, after the Dominion settlement, it “will expose the rest” of the “misconduct and damage caused by Fox’s disinformation campaign.”Dominion, too, has more cases pending, including against the pro-Trump lawyer Rudolph W. Giuliani and One America News Network. Although the lawsuits involve similar false claims of election fraud, the facts of each case vary, experts said.Attorneys for Mr. Lindell and Mr. Giuliani did not immediately respond to requests for comment, nor did Newsmax or OAN.For the individuals and smaller companies facing legal claims, for whom a substantial jury judgment could be an “existential” threat, settlement may seem more attractive after Tuesday, Mr. Armijo said.“They’re not going to be able to put up the same level of defense that Fox did; they just don’t have the resources to do it,” he said. “It’s hard to see the other defamation defendants in the remaining cases getting any further than Fox did, which, as we saw, is not very far.” More

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      Analysis: Fox News’s $787.5 Million Settlement Is the Cost of Airing a Lie

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      Fox News’s late-stage agreement with Dominion Voting Systems came with a rare acknowledgment of broadcasting false claims by the conservative media powerhouse.In settling with Dominion Voting Systems, Fox News has avoided an excruciating, drawn-out trial in which its founding chief, Rupert Murdoch, its top managers and its biggest stars would have had to face hostile grilling on an embarrassing question: Why did they allow a virulent and defamatory conspiracy theory about the 2020 election to spread across the network when so many of them knew it to be false?But the $787.5 million settlement agreement — among the largest defamation settlements in history — and Fox’s courthouse statement recognizing that the court had found “certain claims about Dominion” aired on its programming “to be false” — at the very least amount to a rare, high-profile acknowledgment of informational wrongdoing by a powerhouse in conservative media and America’s most popular cable network.“Money is accountability,” Stephen Shackelford, a Dominion lawyer, said outside the courthouse, “and we got that today from Fox.”During a news conference, a lawyer for Dominion Voting Systems said, “lies have consequences.”Pete Marovich for The New York TimesThe terms of the agreement, which was abruptly announced just before lawyers were expected to make opening statements, did not require Fox to apologize for any wrongdoing in its own programming — a point that Dominion was said to have been pressing for.Shortly after the agreement was reached, Fox said it was “hopeful that our decision to resolve this dispute with Dominion amicably, instead of the acrimony of a divisive trial, allows the country to move forward from these issues.”The settlement carries an implicit plea of “no contest” to several pretrial findings from the presiding judge in the case, Eric M. Davis, that cast Fox’s programming in exceptionally harsh light. In one of those findings, the judge sided with Dominion in its assertion that Fox could not claim that its airing of the conspiracy theory — generally relating to the false claim that its machines “switched” Trump votes into Biden votes — fell under a legally protected status of “news gathering” that can shield news organizations when facts are disputed. The judge wrote, “the evidence does not support that FNN conducted good-faith, disinterested reporting.”In another finding, the judge wrote that the “evidence developed in this civil proceeding demonstrates that is CRYSTAL clear that none of the statements relating to Dominion about the 2020 election are true.”Through those findings, the judge seriously limited Fox’s ability to argue that it was acting as a news network pursuing the claims of a newsmaker, in this case, the president of the United States, who was the lead clarion for the false Dominion narrative.In those heady days before the first day of trial, Fox had been indicating that if it were to lose at trial, it would work up an appeal that would, at least partly, argue with those judicial rulings. Now they stand undisputed. By the end of the day on Tuesday, it was clear that Fox’s lawyers were engaged in an urgent calculus to take the financial hit rather than risk losing at trial. As so many legal experts before the trial had argued, Dominion had managed to collect an unusual amount of internal documentation from Fox showing that many inside the company knew the Dominion election conspiracy theory was pure fantasy. That extended to the network’s highest ranks — right up to Mr. Murdoch himself.Rupert Murdoch and his lieutenants could have faced a drawn-out trial that would have forced them to acknowledge why they broadcast conspiratorial claims that knew to be false.Mary Altaffer/Associated PressThat evidence appeared to bring Dominion close to the legal threshold in defamation cases known as “actual malice” — established when defamatory statements are “made with knowledge of its falsity or with reckless disregard of whether it was true or not.” (That bar, however, is not always easy to meet, and there are no guarantees in front of a jury.)“Dominion Voting had elicited much critical evidence that Fox had acted with actual malice or reckless disregard for the truth, which it could have proved to a jury, so the only question remaining would have been damages,” said Carl Tobias, a law professor at the University of Richmond. “Trial of the case also might have undermined the reputation of Fox when the evidence was presented in open court.”It was less surprising that Fox settled than that it did so at such a late stage on Tuesday. A trial would have seen Fox News personnel and Mr. Murdoch parrying with lawyers over the knowledge of falsity they held and why they did not take any action to stop it. The answers would have further unmasked the internal modus operandi of an organization that has long guarded its internal operations.The one question that only time will answer is whether the settlement was enough to cause Fox News to change the way it handles such incendiary and defamatory conspiracy content. The amount is huge — $787.5 million. Fox News certainly doesn’t want to see a similar settlement anytime soon as other legal cases loom, notably a $2.7 billion suit from another election technology company, Smartmatic.But Fox did manage to escape Dominion’s goal of an on-air admission or apology, meaning it did not have to force either on its audience, which did not hear much about the case on Fox’s shows to begin with.“It’s hard to say how damaging a decision against Fox would have been for the company beyond the financial cost of the verdict because their audience is very loyal and bought into the polarized perspective their opinion hosts present,” Michelle Simpson Tuegel, a trial lawyer, said in a statement. “But the reputational harm of having executives, including Chairman Rupert Murdoch, and hosts take the stand seems to have moved the parties towards a resolution.” More

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      Why Fox News Had to Settle With Dominion

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      WILMINGTON, Del. — It is deeply disappointing that Fox News settled the defamation lawsuit brought by Dominion Voting Systems before Rupert Murdoch and his roster of celebrity propagandists had to testify. But it is not surprising. Fox News, after all, had no viable defense.On Tuesday, I arrived at Superior Court here at 7 a.m. to secure a seat for what I, like many others, hoped would be an epic trial about the falsehoods Fox aired after the 2020 election, when it accused Dominion and the voting technology company Smartmatic of perpetrating heinous voter fraud. Jury selection took all morning, and opening statements were scheduled for the afternoon.More than anything, I was curious about what Fox’s lawyers would say, because there seemed so little that they could say. Part of Fox’s sinister on-air brilliance is the way it encases its audience in a comprehensive alternative reality. But now, for once, the network would be forced to account for itself outside the right-wing bubble. How it would possibly do so was a matter of great suspense.Already, Eric Davis, the judge in the case, had ruled in Dominion’s favor on key issues. “The evidence developed in this civil proceeding demonstrates that is CRYSTAL clear that none of the statements relating to Dominion about the 2020 election are true,” he wrote in a March 31 pretrial decision, a rare judicial use of all-caps bold italics. Fox’s statements, he ruled, constituted “defamation per se.”Davis prohibited Fox from arguing that the network was merely reporting on allegations made by Donald Trump and his lawyers, which Fox contended were newsworthy whether or not they were true. So the case would turn not on whether Fox had aired defamatory falsehoods, which Davis determined it had, but on whether, in airing defamatory falsehoods, Fox had displayed “actual malice” — essentially, reckless disregard for the truth.The evidence for such reckless disregard brought to light by Dominion’s lawyers during the discovery phase of the case was already overwhelming, and the trial promised more to come. A filing that Fox’s lawyers made last week demonstrated their predicament. In it, the attorneys laid out some of the points they planned to make in their opening argument, asking for “guidance from the court to ensure that it can make its opening statement without undue interruption and delay.” Those points looked a lot like an attempt by Fox to use a legal backdoor to smuggle in arguments that the judge had already forbidden.“To defend this case, Fox witnesses must be able to testify about the reasons why Fox covered the allegations on the air,” said the filing. “Fox witnesses will all testify that they covered the Dominion-related allegations because the allegations were part of the most newsworthy story of the day.” This, even though Davis had specifically ruled that this argument was invalid because, among other things, “the evidence does not support” the contention that Fox “conducted good-faith, disinterested reporting.”In order to defend Fox from a finding of actual malice, its lawyers seemed set on bringing Fox’s alternative reality into the courtroom, acting as if taking Trump and his attorneys at their word was a perfectly reasonable thing to do. Testimony and documentary evidence, Fox’s lawyers said in the filing, “will show that the president and the lawyers bringing the election fraud lawsuits continuously told Fox that they had evidence to support their claims and that they would be presenting that evidence to courts.” That, in turn, explains why the Fox hosts “did not know that the president’s allegations were false or harbor serious doubts about the truth of the allegations.”In other words, they can’t be blamed for treating the president of the United States as a reliable source.Responding to the filing, Davis refused to give Fox the green light it sought. If the network’s lawyers wanted to make the arguments that they were telegraphing, they would have to take their chances in front of the jury, and risk getting shut down. On Tuesday morning, Davis reminded the parties that they would not be able to make arguments “about things that I’ve ruled inadmissible.” I was waiting to hear what Fox’s lawyers were going to argue instead.But after lunch, the jury didn’t return, and Davis came back to the courtroom only briefly before beckoning some of the lawyers out. The hours ticked by while the journalist-filled audience grew increasingly restless. Courtroom protocol against texting or using the internet gradually collapsed. News broke that the judge had ordered a special master to investigate whether Fox had “complied with their discovery obligations.” (The network had previously been sanctioned for withholding evidence.) Rumors about a settlement buzzed through the room.At 4 p.m., the jury filed back in, and the judge confirmed that the trial was over before it began.Fox is paying Dominion $787.5 million, which appears to be one of the largest defamation settlements in history and is one that constitutes a humiliating admission of fault by the network, even though, as The New York Times’s Jim Rutenberg reported, the deal doesn’t require Fox to apologize. But the public will be deprived of seeing Murdoch, Sean Hannity, Tucker Carlson and several of their colleagues grilled on the stand, forced to reckon with the real world, unable to fall back on the dense lattice of misinformation that typically sustains Fox’s narratives.At least, the public will be deprived for now. Smartmatic is still suing Fox for $2.7 billion, though no trial date has been announced yet. “Dominion’s litigation exposed some of the misconduct and damage caused by Fox’s disinformation campaign,” Smartmatic lawyer J. Erik Connolly said in a statement on Tuesday. “Smartmatic will expose the rest.”I’m not sure I believe it — Fox has just shown the world what it’s willing to pay to avoid the unmasking. But reality isn’t done with Murdoch and the rest of them yet.The Times is committed to publishing a diversity of letters to the editor. We’d like to hear what you think about this or any of our articles. Here are some tips. And here’s our email: letters@nytimes.com.Follow The New York Times Opinion section on Facebook, Twitter (@NYTopinion) and Instagram. More