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    Judge Allows Dominion’s Defamation Suit to Include Fox Corporation

    The decision broadens the possible legal exposure to the highest ranks of the Fox media empire.A judge presiding in the defamation lawsuit against Fox News by Dominion Voting Systems ruled this week that the cable channel’s parent company, Fox Corporation, can be included in the suit, broadening the possible legal exposure to the highest ranks of the Fox media empire.Dominion had argued that Fox Corporation should also be part of the litigation because its two most senior executives, Rupert and Lachlan Murdoch, played “a direct role in participating in, approving and controlling” statements that fed false perceptions of voter fraud in the 2020 presidential election.In a decision, Judge Eric M. Davis of Delaware Superior Court said Dominion had “adequately pleaded” facts supporting its claim that Fox Corporation was “directly liable” for what Fox News put on the air. He reasoned that the Murdochs were widely known to have a hand in shaping Fox News coverage. Judge Davis also said it was reasonable to infer that Fox Corporation had “participated in the creation and publication of Fox News’s defamatory statements.”Dominion’s suit against Fox News, filed in March 2021 in Delaware, where both companies are incorporated, seeks at least $1.6 billion in damages.“The truth matters,” Dominion’s lawyers wrote in their initial complaint. “Lies have consequences. Fox sold a false story of election fraud in order to serve its own commercial purposes, severely injuring Dominion in the process. If this case does not rise to the level of defamation by a broadcaster, then nothing does.”Fox News and its parent company have denied that the statements in question were defamatory in the first place, arguing that what was said on Fox broadcasts about Dominion was, in part, protected expressions of opinion. Included were various unsubstantiated allegations from Fox News hosts and guests that Dominion was somehow complicit in a conspiracy to steal votes from former President Donald J. Trump.Separately, Judge Davis denied a claim from Dominion to extend its suit to Fox Broadcasting, the television and entertainment division of the Fox brand that is home to shows including “MasterChef” and “The Simpsons.”Fox News moved to dismiss the Dominion suit late last year, but that motion was rejected.The lawsuit is in the discovery phase, the process through which Dominion lawyers are combing through internal Fox communications in search of evidence. Dominion’s lawyers will need to prove that people at the network acted with “actual malice,” meaning they either knew the allegations against Dominion were false or they recklessly disregarded facts that would have shown them to be false. More

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    Much of Smartmatic Case Against Fox News Can Proceed, Judge Rules

    The $2.7 billion defamation lawsuit against Fox News by the election technology company Smartmatic can move forward, a New York judge ruled on Tuesday. But the judge tossed out Smartmatic’s defamation claims against the Fox News host Jeanine Pirro and a network guest, Sidney Powell.Smartmatic sued Rupert Murdoch’s cable news networks last year, along with several Fox hosts and guests. The lawsuit accused them of damaging the company by promoting a false narrative about the 2020 election: that Smartmatic and other voting systems companies tried to rig the race against President Donald J. Trump. Smartmatic later expanded its legal battle against disinformation to the right-wing media outlets Newsmax and One America News Network.On Tuesday, Justice David B. Cohen of State Supreme Court in Manhattan said in a 61-page ruling that, “at a minimum, Fox News turned a blind eye to a litany of outrageous claims about plaintiffs, unprecedented in the history of American elections, so inherently improbable that it evinced a reckless disregard for the truth.”He added, “At this nascent stage of the litigation, this court finds that plaintiffs have pleaded facts sufficient to allow a jury to infer that Fox News acted with actual malice.”He also declined to dismiss Smartmatic claims against Maria Bartiromo, the Fox Business star, and Lou Dobbs, whose Fox Business show was a frequent clearinghouse for baseless theories of electoral fraud in the weeks after Mr. Trump’s defeat. Fox canceled Mr. Dobbs’s program last year, one day after Smartmatic sued.Citing a legal technicality, Justice Cohen dismissed most of Smartmatic’s defamation claims against Rudolph W. Giuliani, who, appearing on Fox News as a legal representative for Mr. Trump, said the technology company had “tried-and-true methods for fixing elections,” among other false assertions. Even so, Justice Cohen said there was “substantial” evidence that Mr. Giuliani “acted with actual malice insofar as he evinced a reckless disregard for the truth” and ruled that Smartmatic could try again. The judge allowed another part of Smartmatic’s defamation case against Mr. Giuliani to go forward.Fox News vowed a swift appeal.“While we are gratified that Judge Cohen dismissed Smartmatic’s claims against Jeanine Pirro at this early stage, we still plan to appeal the ruling immediately,” the network said in a statement. The network added that it would “continue to litigate these baseless claims by filing a counterclaim for fees and costs” under New York’s anti-SLAPP (strategic lawsuit against public participation) statute, which is meant to quickly set aside lawsuits that may be intended to chill free speech.Fox News said it would do so “to prevent the full-blown assault on the First Amendment which stands in stark contrast to the highest tradition of American journalism.”In dismissing the claim against Ms. Pirro, Justice Cohen said that while she had asserted on her show that Democrats “stole votes,” she had not specifically blamed Smartmatic’s software.A spokesman for Smartmatic did not reply to a request for comment.Fox News is also battling a related $1.6 billion defamation lawsuit from Dominion Voting Systems, which has accused the channel of advancing lies that devastated its reputation and business. A Delaware judge rejected an attempt by Fox News to dismiss Dominion’s lawsuit in December. More

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    Fox News Intensifies Its Pro-Trump Politics as Dissenters Depart

    Donna Brazile, a Democratic analyst, has left the Murdoch-owned network as some hosts and journalists who questioned Donald Trump have exited or been sidelined.Fox News once devoted its 7 p.m. and 11 p.m. time slots to relatively straightforward newscasts. Now those hours are filled by opinion shows led by hosts who denounce Democrats and defend the worldview of former President Donald J. Trump. More

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    Dominion Sues Fox News, Claiming Defamation in Election Coverage

    Dominion Voting Systems, an election technology company, accused the news channel of advancing lies that devastated its reputation and business.Fox News and its powerful owner, Rupert Murdoch, are facing a second major defamation suit over its coverage of the 2020 presidential election, a new front in the growing legal battle over media disinformation and its consequences.Dominion Voting Systems, an election technology company that was at the center of a baseless pro-Trump conspiracy about rigged voting machines, filed a lawsuit on Friday that accused Fox News of advancing lies that devastated its reputation and business.Dominion, which has requested a jury trial, is seeking at least $1.6 billion in damages. The lawsuit comes less than two months after Smartmatic, another election tech company, filed a $2.7 billion lawsuit against Mr. Murdoch’s Fox Corporation and named several Fox anchors, including Maria Bartiromo and Lou Dobbs, as defendants.In a 139-page complaint filed in Delaware Superior Court, Dominion’s legal team, led by the prominent defamation firm Clare Locke, portrayed Fox as an active player in spreading falsehoods that Dominion had altered vote counts and manipulated its machines to benefit Joseph R. Biden Jr. in the election.Those claims were false, but they were relentlessly pushed by President Donald J. Trump’s lawyers, Rudolph Giuliani and Sidney Powell, in public forums, including appearances on Fox programs. In January, Dominion sued Mr. Giuliani and Ms. Powell for defamation. The company also sued Mike Lindell, the chief executive of MyPillow and a Trump ally who was also a frequent guest on Fox programs, as well as shows on other conservative media outlets. Each of those suits seeks damages of more than $1 billion.“The truth matters,” Dominion’s lawyers wrote in Friday’s complaint against Fox. “Lies have consequences. Fox sold a false story of election fraud in order to serve its own commercial purposes, severely injuring Dominion in the process. If this case does not rise to the level of defamation by a broadcaster, then nothing does.”In a statement on Friday, Fox said that its 2020 election coverage “stands in the highest tradition of American journalism” and pledged to “vigorously defend against this baseless lawsuit in court.”Fox Corporation previously filed a motion to dismiss the Smartmatic lawsuit, arguing that the false claims of electoral fraud made on its channels were part of covering a fast-breaking story of significant public interest. “An attempt by a sitting president to challenge the result of an election is objectively newsworthy,” Fox’s legal team wrote in the motion.The narrative that Mr. Trump and his allies told about Dominion was among the more baroque creations of the president’s monthslong effort to cast doubt on the 2020 election results and persuade Americans that Mr. Biden’s victory was not legitimate.Dominion, which was founded in 2002, is one of the largest manufacturers of voting machine equipment in the United States, and its machines were used by election authorities in at least 28 states last year, including several states carried by Mr. Trump.Allies of Mr. Trump falsely portrayed the company as biased toward Mr. Biden and argued, without evidence, that it was tied to Hugo Chávez, the long-dead Venezuelan dictator. John Poulos, Dominion’s founder, and other employees received harassing and threatening messages from people convinced that the company had undermined the election results.Fox News and Fox Business programs were among the mass-media venues where Mr. Trump’s supporters denounced Dominion. The lawsuit also cites examples where the Fox hosts, including Ms. Bartiromo and Ms. Dobbs, uncritically repeated or actively vouched for the false claims made by Mr. Giuliani and Ms. Powell.“Fox took a small flame and turned it into a forest fire,” Dominion wrote in the lawsuit. “As the dominant media company among those viewers dissatisfied with the election results, Fox gave these fictions a prominence they otherwise would never have achieved.”Dominion’s lawyers on Friday also cited an unusual argument made by Ms. Powell in a motion, filed on Monday, to dismiss the separate Dominion suit against her.In that motion, Ms. Powell’s lawyers asserted that because political language is often inexact, “reasonable people” would not accept Ms. Powell’s baseless claims as facts. Ms. Powell — who never allowed in public appearances that she was anything less than confident in her assertions — was essentially arguing that her conspiratorial claims were self-evidently hyperbolic and therefore not defamatory.Dominion says it recently lost major contracts with election officials in Georgia and Louisiana, adding that the company is now facing “the hatred, contempt, and distrust of tens of millions of American voters.”Right-wing media has already faced a reckoning of sorts from the threat of defamation litigation, a relatively novel tactic in a battle against disinformation that had previously been limited to ad boycotts and liberal public pressure campaigns.In February, two days after Smartmatic filed its suit, Fox Business canceled “Lou Dobbs Tonight,” its highest rated program. Newsmax, a pro-Trump cable channel also facing potential legal action, cut off Mr. Lindell when he repeated falsehoods about rigged voting machines. More

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    Fox News Reports Profit Gain, Despite Ratings Drop

    AdvertisementContinue reading the main storySupported byContinue reading the main storyFox News Reports Profit Gain, Despite Ratings DropThe media powerhouse remains a profit machine, but it faces challenges, including competition from newer outlets and a defamation suit against its parent company.Lachlan Murdoch, the chief executive of the Fox Corporation, said audience pullback after the election was expected.Credit…Mike Cohen for The New York TimesFeb. 9, 2021Updated 4:02 p.m. ETIf Rupert Murdoch’s Fox News is at all worried about recent ratings declines, the company hid its concern well. Mr. Murdoch’s powerhouse television business continues to see growth in revenue and profit, reporting gains on both areas in its quarterly earnings report announced Tuesday.Fox Corporation, led by Mr. Murdoch’s son Lachlan Murdoch, the chief executive, saw a 17 percent jump in pretax profit, to $305 million. It logged an 8 percent gain in sales, to $4 billion, for the three months ending in December, what the company considers its second fiscal quarter.Despite losing the ratings crown to CNN in recent weeks, Fox News is still a profit machine. The cable division saw a 1 percent gain in revenue, to $1.49 billion, and a 3 percent increase in pretax profit, to $571 million. Advertising increased 31 percent, to $441 million, but the fees paid by cable operators to carry the network fell 3 percent, to $928 million, as more people cut the cord.Lachlan Murdoch trumpeted the cable news network’s performance, downplaying the recent drop in viewership.“The Fox News Channel finished the quarter with its highest average ratings,” he said on an earnings call with analysts. “We are now seeing expected audience pullback since the election,” a phenomenon that he said was “consistent with prior election cycles.” He expects audiences to eventually return to the network.The company also announced a multiyear renewal contract for Suzanne Scott, the head of the network, dispelling any concerns that she may be replaced given its recent ratings performance.“Suzanne’s track record of success, innovative sprit and dedication to excellence make her the ideal person to continue to lead and grow Fox News,” Lachlan Murdoch said in a statement on Tuesday.The network did not disclose the exact length or financial terms of the deal.But hanging over the company’s financial future is a defamation lawsuit recently brought against Fox Corporation by a little-known technology provider. The suit, filed by Smartmatic, whose system was used in the presidential election in Los Angeles County, is seeking at least $2.7 billion in damages against Fox Corporation, Fox News and several of its prime-time stars for participating in “the conspiracy to defame and disparage Smartmatic and its election technology and software,” according to the suit.Mr. Trump and his supporters repeatedly described the election as “rigged,” and Fox News and its sister network Fox Business have given significant airtime to personalities and anchors who have sown doubt about the election results. The suit names the Fox anchors Maria Bartiromo, Lou Dobbs and Jeanine Pirro. Mr. Dobbs’s show was abruptly canceled last week, bringing his decade-long run at the company to an end.The financial penalty sought by Smartmatic appears to closely mirror the amount of profit Fox Corporation generates. For calendar year 2020, the company made about $3.1 billion in pretax earnings. Fox recently filed a motion to dismiss the suit.Fox News also faces competition from newer media outlets that tack even further to the right, such as OANN and Newsmax. Fox loyalists seemed to have turned on the network after it called the presidential election for Joseph R. Biden Jr., with some viewers flocking to competitors.When asked about the ratings declines and the impending battle for its core audience, Mr. Murdoch hesitated before answering.“In the journalism trade, you work out what your market is and produce the best product you can possibly produce,” he said. “At Fox News, the success of Fox News throughout its entire history has been to provide the absolute best news and opinion for a market that we believe is firmly center-right.”He seemed unconcerned about the rise in far-right news outlets that have seen record ratings in recent weeks.“We believe where we’re targeted to the center-right is exactly where we should be targeted,” he said. “We believe that’s where, politically, Americans are.”The company’s Fox broadcast stations helped drive much of the quarter’s growth as local networks saw record political advertising during the presidential election season. The broadcast division saw a 10 percent bump in ad dollars, to $1.8 billion.The addition of Tubi, the ad-supported free streaming service Fox acquired last year, also helped increase revenue to the TV unit. Although it is still a money-losing enterprise, Tubi is expected to double its revenue to about $300 million for the fiscal year ending in June, the company said.Michael Grynbaum contributed reporting.AdvertisementContinue reading the main story More

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    Fox Files Motion to Dismiss Smartmatic’s $2.7 Billion Lawsuit

    AdvertisementContinue reading the main storySupported byContinue reading the main storyFox Files Motion to Dismiss Smartmatic’s $2.7 Billion Defamation SuitIn a court filing, Rupert Murdoch’s media company says it had the right to broadcast the debunked claims of election fraud promoted by President Donald Trump’s legal team on Fox News and Fox Business.The Manhattan headquarters for Rupert Murdoch’s American media companies Fox Corporation, home of Fox News and Fox Business, and News Corp.Credit…Drew Angerer/Getty ImagesMichael M. Grynbaum and Feb. 8, 2021Rupert Murdoch’s Fox Corporation on Monday filed a motion to dismiss the $2.7 billion defamation lawsuit brought against it last week by the election technology company Smartmatic, which has accused Mr. Murdoch’s cable networks and three Fox anchors of spreading falsehoods that the company tried to rig the presidential race against Donald J. Trump.The lawsuit has roiled right-wing news media outlets whose star personalities repeatedly cast doubt on Joseph R. Biden Jr.’s victory in the wake of the election and raised the specter of a significant financial penalty for Fox. On Friday, the day after the lawsuit was filed, Fox canceled the nightly Fox Business program hosted by Lou Dobbs, who is named in the suit along with the Fox anchors Maria Bartiromo and Jeanine Pirro.In its 44-page response filed in New York State Supreme Court, Fox argues that the claims of electoral fraud made on its channels by Mr. Trump’s lawyers — including Rudolph W. Giuliani and Sidney Powell, who are also named in the defamation suit — were matters of significant interest to viewers and handled fairly.“This lawsuit strikes at the heart of the news media’s First Amendment mission to inform on matters of public concern,” Fox says in the motion, adding, “An attempt by a sitting president to challenge the result of an election is objectively newsworthy.”Paul D. Clement, a partner in the Washington office of the law firm Kirkland & Ellis who served as solicitor general under President George W. Bush, is leading Fox’s defense. “Smartmatic’s theory is fundamentally incompatible with the reality of the modern news network and deeply rooted principles of free speech law,” Mr. Clement said in a statement.A spokesman for Smartmatic did not immediately reply to a request for comment.“It’s a strong move on their part to try to come out and dismiss the claim,” said Timothy Zick, a professor at William & Mary Law School who specializes in First Amendment law.Mr. Zick said that Fox was making use of the concept of “neutral reportage,” arguing that it could not be sued for defamation while covering the news. “They’re arguing that shields Fox News as an organization for simply reporting on the controversy, which is a matter of public interest,” he said.A key to Fox’s defense is the argument that it cannot be held responsible for statements made on its programs by Mr. Giuliani and Ms. Powell, given their roles as Mr. Trump’s legal representatives.“The public had a right to know, and Fox had a right to cover, that the president and his allies were accusing Smartmatic (and others) of manipulating the election results, regardless of the ultimate truth or accuracy of those allegations,” the motion reads. It also asserts that Smartmatic’s suit does not identify defamatory statements by television hosts employed by Mr. Murdoch’s company.Fox also argues that Smartmatic should be considered a public figure. That argument, which is likely to be contested by the tech company, means that Smartmatic must meet a high bar to prove that it was defamed: demonstrating that the defendants knew their statements were false, or at least had serious doubts about them.Smartmatic’s 276-page lawsuit alleges that Mr. Trump’s lawyers used Fox’s platform, and its sympathetic anchors, to spin conspiracies about the company that damaged its reputation and commercial prospects. The suit has been applauded by those seeking to curb the flow of disinformation from right-wing news outlets, but it has also raised questions about the limits of speech in a changing media landscape.Fox’s argument in its motion — that it provided a forum for newsworthy interviews — may cut into the conceptual heart of Smartmatic’s case, which groups Fox, its hosts and their guests as defendants who collaborated to spread falsehoods.The defamation lawsuit cites exchanges on Fox programs that, Smartmatic said, helped spread the false claim that it was the owner of a rival election tech company, Dominion Voting System, and that it provided its services to districts in multiple contested states. In fact, Smartmatic was used in the 2020 election only by Los Angeles County.And Smartmatic offers vivid examples of Fox programming that spread bizarre falsehoods, like a claim by Ms. Powell made on Mr. Dobbs’s show that the former president of Venezuela, Hugo Chávez, had assisted the company in creating software that could covertly alter votes. (Mr. Chávez died in 2013 and had nothing to do with Smartmatic.)In other exchanges cited by Smartmatic, Fox anchors alternately expressed support and astonishment as Mr. Giuliani and Ms. Powell spun out their claims. In one case, a phrase used by Ms. Powell — “cyber Pearl Harbor” — was later invoked by Mr. Dobbs on his show and on social media.Fox’s response on Monday included a 14-page appendix under the title “Fox’s Evenhanded Coverage of Smartmatic,” documenting instances from Fox News and Fox Business that the company believes showed skepticism toward the Trump team’s claims.Among the examples are three identical, pretaped fact-checking segments that ran in mid-December on programs hosted by Ms. Bartiromo, Mr. Dobbs and Ms. Pirro and that featured Eddie Perez, an election expert who debunked a number of false claims about Smartmatic.The segments were broadcast after Smartmatic sent a letter to Fox demanding retractions and threatening legal action.AdvertisementContinue reading the main story More

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    Lawsuits Take the Lead in Fight Against Disinformation

    AdvertisementContinue reading the main storySupported byContinue reading the main storyLawsuits Take the Lead in Fight Against DisinformationDefamation cases have made waves across an uneasy right-wing media landscape, from Fox to Newsmax.Lou Dobbs, whose show on Fox Business was canceled on Friday, was one of several Fox anchors named in a defamation suit filed by the election technology company Smartmatic.Credit…Chester Higgins Jr./The New York TimesFeb. 6, 2021, 5:05 p.m. ETIn just a few weeks, lawsuits and legal threats from a pair of obscure election technology companies have achieved what years of advertising boycotts, public pressure campaigns and liberal outrage could not: curbing the flow of misinformation in right-wing media.Fox Business canceled its highest rated show, “Lou Dobbs Tonight,” on Friday after its host was sued as part of a $2.7 billion defamation lawsuit. On Tuesday, the pro-Trump cable channel Newsmax cut off a guest’s rant about rigged voting machines. Fox News, which seldom bows to critics, has run fact-checking segments to debunk its own anchors’ false claims about electoral fraud.This is not the typical playbook for right-wing media, which prides itself on pugilism and delights in ignoring the liberals who have long complained about its content. But conservative outlets have rarely faced this level of direct assault on their economic lifeblood.Smartmatic, a voter technology firm swept up in conspiracies spread by former President Donald J. Trump and his allies, filed its defamation suit against Rupert Murdoch’s Fox empire on Thursday, citing Mr. Dobbs and two other Fox anchors, Maria Bartiromo and Jeanine Pirro, for harming its business and reputation.Antonio Mugica, Smartmatic’s chief executive.Credit…Henry Nicholls/ReutersDominion Voting Systems, another company that Mr. Trump has accused of rigging votes, filed defamation suits last month against two of the former president’s lawyers, Rudolph W. Giuliani and Sidney Powell, on similar grounds. Both firms have signaled that more lawsuits may be imminent.Litigation represents a new front in the war against misinformation, a scourge that has reshaped American politics, deprived citizens of common facts and paved the way for the deadly Jan. 6 attack on the Capitol. Fox News, for instance, paid millions last year to settle a claim from the family of a murdered Democratic National Committee staff member falsely accused by Fox hosts of leaking emails to WikiLeaks.But the use of defamation suits has also raised uneasy questions about how to police a news media that counts on First Amendment protections — even as some conservative outlets advanced Mr. Trump’s lies and eroded public faith in the democratic process.“If you had asked me 15 years, five years ago, whether I would ever have gotten involved in a defamation case, I would have told you no,” said Roberta Kaplan, a lawyer who is representing Mr. Trump’s niece, Mary L. Trump, and the writer E. Jean Carroll in defamation suits against the former president.The defamation suits raise the question of how news organizations should present public figures. Sidney Powell was a conspiracist but she was also a member of President Donald J. Trump’s legal team.Credit…Jonathan Ernst/ReutersLike other prominent liberals in her profession, Ms. Kaplan had long considered defamation suits a way for the wealthy and powerful to try to silence their critics. Last year, Mr. Trump’s campaign sued multiple news organizations for coverage that the president deemed unfavorable or unfair. The technology billionaire Peter Thiel bankrolled Hulk Hogan’s suit against the gossip blog Gawker that ultimately bankrupted the business.“What’s changed,” Ms. Kaplan said, “and we’ve all seen it happen before our eyes, is the fact that so many people out there, including people in positions of authority, are just willing to say anything, regardless of whether it has any relationship to the truth or not.”Some First Amendment lawyers say that an axiom — the best antidote to bad speech is more speech — may no longer apply in a media landscape where misinformation can flood public discourse via countless channels, from cable news to the Facebook pages of family and friends.“This shouldn’t be the way to govern speech in our country,” Ms. Kaplan said. “It’s not an efficient or productive way to promote truth-telling or quality journalistic standards through litigating in court. But I think it’s gotten to the point where the problem is so bad right now there’s virtually no other way to do it.”Mr. Trump’s rise is an inextricable part of this shift. His popularity boosted the profits and power of the right-wing commentators and media outlets that defended him. In November, when Mr. Trump cast doubt on the outcome of the presidential election despite no credible evidence, it made commercial and editorial sense for his media allies to follow his lead.The Newsmax anchor Greg Kelly refused to accept Joseph R. Biden Jr. as president-elect and was rewarded with a surge in ratings. Fox News was more cautious — the network declared Mr. Biden the next president on Nov. 7 — but some Fox stars, including Mr. Dobbs, Ms. Bartiromo and Ms. Pirro, offered significant airtime to his lawyers, Mr. Giuliani and Ms. Powell, and others who pushed the outlandish election-fraud narrative.In one example cited in the 276-page complaint filed by Smartmatic, Mr. Dobbs’s program broadcast a false claim by Ms. Powell that Hugo Chávez, the former president of Venezuela, had been involved in creating the company’s technology and installed software so that votes could be switched undetected. (Mr. Chávez, who died in 2013, did not have anything to do with Smartmatic.)Smartmatic also cited an episode of “Lou Dobbs Tonight” in which Mr. Giuliani falsely described the election as “stolen” and claimed that hundreds of thousands of “unlawful ballots” had been found. Mr. Dobbs described the election as the end to “a four-and-a-half-year-long effort to overthrow the president of the United States,” and raised the specter of outside interference.“It has the feeling of a cover-up in certain places, you know — putting the servers in foreign countries, private companies,” Mr. Dobbs said.Fox has promised to fight the litigation. “We are proud of our 2020 election coverage and will vigorously defend this meritless lawsuit in court,” the network said in a statement the day before it canceled Mr. Dobbs’s show.Executives in conservative media argue that the Smartmatic lawsuit raises uncomfortable questions about how news organizations should present public figures: Ms. Powell was a conspiracist, but she was also the president’s lawyer. Should a media outlet be allowed to broadcast her claims?“There’s a new standard created out of this that is very dangerous for all the cable channels,” Christopher Ruddy, the owner of Newsmax and a Trump confidant, said in an interview on Saturday. “You have to fact-check everything public figures say, and you could be held libelous for what they say.” Mr. Ruddy contends that Newsmax presented a fair view of the claims about election fraud and voting technology companies.Newsmax personnel, though, were made aware of the potential damage stemming from claims that appeared on their shows. In an extraordinary on-air moment on Tuesday, Mike Lindell, the MyPillow founder and a staunch Trump ally, began attacking Dominion — and was promptly cut off by a Newsmax anchor, Bob Sellers, who read a formal statement that Newsmax had accepted the election results “as legal and final.”Fox executives revealed their own concerns in December, after Smartmatic sent a letter signaling that litigation was imminent. Fox News and Fox Business ran an unusually stilted segment in which an election expert, Edward Perez, debunked conspiracy theories about voter fraud that had recently been aired on the networks. The segment ran on three programs — those hosted by Mr. Dobbs, Ms. Bartiromo and Ms. Pirro. (Newsmax, which also received a letter from Smartmatic, aired its own clarifications.)This fear of liability has rippled into smaller corners of the right-wing media sphere. Mr. Giuliani, who hosts a show on the New York radio station WABC, was caught by surprise on Thursday when his employer aired a disclaimer during his show that distanced itself and its advertisers from Mr. Giuliani’s views.“They got to warn you about me?” Mr. Giuliani asked his listeners, sounding incredulous. “Putting that on without telling me — not the right thing to do. Not the right thing to do at all.”Yochai Benkler, a professor at Harvard Law School who studies disinformation and radicalization in American politics, said that the president’s lies about the election had pushed pro-Trump outlets beyond the relatively lax standards applied to on-air commentators.“The competitive dynamic in the right-wing outrage industry has forced them all over the rails,” Mr. Benkler said. “This is the first set of lawsuits that’s actually going to force them to internalize the cost of the damages they’re inflicting on democracy.”Mr. Benkler called the Smartmatic suit “a useful corrective” — “it’s a tap on the brakes” — but he also urged restraint. “We have to be very cautious in our celebration of these lawsuits, because the history of defamation is certainly one in which people in power try to slap down critics,” he said.Rudolph W. Giuliani was the public face of Mr. Trump’s effort to challenge the election results in the courts.Credit…Erin Schaff/The New York TimesMartin Garbus, a veteran First Amendment lawyer, said he was personally repelled by the lies about the election propagated by Mr. Trump and his allies, but he also called the Smartmatic suit “very complicated.”“Will lawsuits like this also be used in the future to attack groups whose politics I might be more sympathetic with?” he asked.Mr. Garbus, who made his reputation in part by defending the speech rights of neo-Nazis and other hate groups, said that the growth of online sources for news and disinformation had made him question whether he might take on such cases today. He offered an example of a local neo-Nazi march.Before social media, “it wouldn’t have made much of an echo,” Mr. Garbus said. “Now, if they say it, it’s all over the media, and somebody in Australia could blow up a mosque based on what somebody in New York says.“It seems to me you have to reconsider the consequence of things,” he added.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