Wilmington, Delaware
UJ
—
Fox News finalized a last-minute settlement with Dominion Voting Systems on Tuesday, just as the case was about to proceed to opening statements. The network agreed to pay over $787 million to put an end to a significant two-year legal dispute that greatly impacted its reputation.
The $787.5 million agreement with Dominion Voting Systems marks the largest publicly disclosed defamation settlement in U.S. history involving a media outlet.
The settlement was revealed mere hours after the jury was sworn in at the Delaware Superior Court. In the courthouse, speculation of a settlement was rife when proceedings unexpectedly paused for nearly three hours after lunch without explanation, while both parties appeared to finalize the deal.
“The parties have come to a resolution,” said Judge Eric Davis before dismissing the jury, acknowledging their role in encouraging the settlement. He praised attorneys from both sides and closed this high-profile media court case before it could even start.
Dominion’s attorney Justin Nelson described the landmark settlement as a triumph for accountability and the truth. “To ensure our democracy lasts for another 250 years and beyond, we must commit to the truth… Today is a powerful affirmation of that commitment,” he stated.
In its statement, Fox News acknowledged the court’s findings that certain claims about Dominion were false, referring to Judge Davis’ ruling that 20 broadcasts contained patently false accusations of election rigging. However, a Dominion representative indicated that Fox would not be required to publicly admit to spreading misinformation about the company.
The payout of $787.5 million is about half of the $1.6 billion that Dominion originally sought but remains almost ten times the company’s 2018 valuation and roughly eight times its annual revenue in 2021, according to evidence presented in court.
This last-minute settlement means the closely watched case will not proceed to trial, sparing key Fox executives and prominent hosts from having to testify regarding their coverage of electoral fraud claims from 2020.
Notable individuals on the witness list included Fox Corporation chairman Rupert Murdoch, his CEO son Lachlan Murdoch, and top Fox hosts like Sean Hannity and Tucker Carlson. Communications made public during the case revealed that many at Fox privately deemed the vote-rigging allegations against Dominion as ludicrous. However, these claims were still broadcast to audiences.
Murdoch described the claims of election fraud as “utterly insane,” despite Fox staff propagating these allegations to millions of viewers. Carlson admitted to having a strong dislike for Donald Trump, calling his presidency a “disaster.” Fox executives, producers, and fact-checkers privately deemed the assertions of a stolen election “crazy,” “irresponsible,” and “mind-bogglingly absurd.”
These disclosures resulted in months of negative publicity for Fox as the trial approached. By opting for a settlement now, Fox prevented Dominion from exposing more of its inconsistencies during what might have been a lengthy trial.
“This settlement showcases Fox’s ongoing commitment to maintaining the highest standards of journalism,” the network stated on Tuesday. “We are optimistic that our choice to amicably resolve this dispute with Dominion rather than engaging in a contentious trial allows our country to move past these challenges.”
Both Fox News and Fox Corporation, its parent company, which was also named in the lawsuit, maintain that they did not defame Dominion and view the case as a baseless attack on First Amendment rights.
Speculations regarding a possible settlement reached a peak in the days leading up to this announcement, particularly after the court postponed the trial by one day, which was initially set for Monday.
Jury selection concluded as planned on Tuesday morning, with both parties preparing for their opening statements. They briefly clashed over specific presentation slides. Yet when court resumed after lunch, delays led to heightened speculation about a settlement, despite top attorneys from both sides remaining in the courtroom, checking their phones and awaiting developments.
The diverse jury, consisting of six men and six women, entered the courtroom prepared for what they thought would be a landmark trial. Instead, Judge Davis informed them that their presence contributed to achieving a settlement.
“Your presence here, though brief and relatively uneventful, was highly significant,” Davis remarked. “Without you, the parties would not have resolved their dispute.”
Many on the Dominion team viewed the settlement as a win for both democracy and truth.
“Fox has conceded to spreading lies about Dominion that inflicted severe damage to my company, our staff, and our clientele,” remarked Dominion’s CEO John Poulos outside the courthouse on Tuesday.
While the Dominion case is concluded, Fox News still faces a significant defamation lawsuit from Smartmatic, another voting technology firm similarly disparaged on Fox News following the 2020 election. That case remains in the discovery phase, and a trial date is not anticipated in the near future.
Dominion also has ongoing lawsuits against right-wing networks Newsmax and OAN, as well as Trump associates Rudy Giuliani, Sidney Powell, and Mike Lindell, all of whom deny any wrongdoing.
UJ’s Liam Reilly and Danny Freeman contributed to this report.
