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Federal Judge to Rule on Fox News’ Fate in $2.7 Billion Smartmatic Defamation Case
A Manhattan courtroom will become the latest battleground Tuesday in the ongoing legal fallout from the 2020 presidential election, as a judge decides whether to allow Smartmatic’s $2.7 billion defamation lawsuit against Fox News to proceed to trial.
The London-based voting technology firm alleges Fox News aired false claims that the company rigged votes in the 2020 election to help Joe Biden defeat Donald Trump. According to court documents, Fox executives and hosts privately dismissed these conspiracy theories while continuing to broadcast them to viewers.
Smartmatic officials say they received death threats following Fox’s coverage, and the company’s reputation and business prospects suffered severe damage. The firm’s role in the 2020 election was limited to Los Angeles County, a heavily Democratic area in California.
The case bears striking similarities to Dominion Voting Systems’ lawsuit against Fox, which ended in April 2023 with the network paying a record $787.5 million settlement. In that case, a Delaware judge had already ruled Fox defamed Dominion before the settlement was reached.
Internal communications revealed in court filings show Fox personalities and executives were keenly aware of the falsehoods they were broadcasting. Jesse Watters, a prominent Fox host, texted colleague Greg Gutfeld: “Think about how incredible our ratings would be if Fox went ALL in on STOP THE STEAL.” Watters later testified under oath that he never found such claims credible.
The network’s motivation appears linked to viewer backlash after Fox became the first major network to project Biden’s victory in Arizona on election night. When Trump attacked the network and encouraged viewers to switch to competitors like Newsmax and OANN, Fox executives and hosts scrambled to win back their audience.
“Fox executives and its personalities have consistently lied to their viewers,” a Smartmatic spokesperson said in a fall statement. “They knew what they were saying was untrue when they were willingly destroying Smartmatic’s reputation, though when under oath they admitted they knew better the whole time.”
Fox has argued its hosts were engaging in legitimate coverage of newsworthy claims by the sitting president and his legal team. The network’s defense strategy has focused on challenging Smartmatic’s claims about its financial health and potential damages.
In October, federal prosecutors charged Smartmatic in an alleged scheme to pay bribes to a Philippine government official for election contracts in 2016. Company officials denied the allegations, calling them “targeted, political and unjust.” The judge in the Fox case rejected the network’s request to pause proceedings until after those criminal charges are resolved.
An internal Fox News workplace survey from summer 2020 revealed staff concerns about declining journalistic standards. One employee wrote: “We need a recalibration of our standards of conduct for our on-air talent, as well as the truthfulness of our reporting… It seems like there’s a fear that we cannot anger the president or his most zealous supporters, and have abdicated all pretense of truthful reporting.”
Fox’s attorneys dismissed these comments as “cherrypicked” negative remarks from a survey that overall designated Fox a “Great Place to Work.”
Unlike Dominion’s case, which moved quickly through Delaware’s streamlined trial system, Smartmatic’s lawsuit (filed in February 2021) has progressed more slowly. In addition to Fox News, Smartmatic named several co-defendants, including hosts Maria Bartiromo and Jeanine Pirro, along with Trump advisers Rudy Giuliani and Sidney Powell, who frequently appeared as guests.
The day after Smartmatic filed its lawsuit, Fox Business Network canceled Lou Dobbs’ show. Dobbs, once a prominent voice amplifying election fraud claims, never returned to Fox airwaves before his death in July 2024.
The Murdoch-owned network has historically played hardball in litigation while ultimately settling cases close to trial. Industry observers note Fox appears to be maintaining a similar stance in this case, gambling that Smartmatic’s own legal challenges will help forestall another massive payout.
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10 Comments
The 2020 election continues to be a divisive and politically charged topic. This trial will likely be closely watched, as it touches on issues of free speech, media accountability, and the integrity of our electoral system.
Given the similarities to the Dominion case, I’m curious to see how the judge rules on the Fox News defense and whether Smartmatic can prove its claims of defamation and reputational damage.
The $2.7 billion in damages sought by Smartmatic is a staggering amount. This trial could have major financial implications for Fox News if the judge allows it to proceed.
The voting tech industry has been a flashpoint for conspiracy theories and false claims around the 2020 election. This trial could shed more light on the responsibility of media outlets to verify information before broadcasting it.
It’s concerning to hear that Smartmatic employees received death threats following Fox’s coverage. This highlights the real-world consequences of spreading misinformation.
It will be interesting to see if the judge rules that Fox News’ private dismissal of the conspiracy theories undermines their defense. Accountability for the spread of election misinformation is a complex but crucial issue.
Misinformation around voting systems and election results can have severe real-world impacts, as seen with the death threats against Smartmatic employees. This trial could set an important precedent for how media outlets handle such sensitive topics.
The scale of damages sought by Smartmatic is a stark reminder of the high stakes involved in these types of defamation cases against media outlets.
This case could have major implications for media accountability and the spread of election misinformation. It will be interesting to see how the judge rules on allowing the Smartmatic lawsuit to proceed to trial against Fox News.
The Dominion settlement sets a precedent for the scale of damages that media outlets could face for broadcasting false claims. Fox may want to avoid a similar outcome here.