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HomeBusinessNewsmax Faces $67 Million Blow From U.S. Media Lawsuit

Newsmax Faces $67 Million Blow From U.S. Media Lawsuit

U.S. media lawsuit has forced Newsmax to settle with Dominion Voting Systems for $67 million. The conservative network will pay $27 million upfront and another $40 million in the coming years. This agreement allows Newsmax to avoid a costly trial that could have carried even greater financial risks.

The U.S. media lawsuit originated from Newsmax’s coverage of the 2020 presidential election. Dominion filed the case after Newsmax broadcast repeated claims that the company had rigged election results. These accusations aligned with conspiracy theories promoted by Donald Trump and several of his allies.

A Delaware judge earlier ruled that Newsmax did air defamatory statements against Dominion. The court confirmed it was false to claim the 2020 election was rigged. The judge had planned to let a jury decide if Newsmax acted with intent and how much Dominion deserved in damages. However, settlement talks moved forward and eliminated the need for trial.

By settling, Newsmax reduced uncertainty while avoiding additional courtroom exposure. The network continued to argue that it never defamed Dominion and that its reporting followed accepted journalistic practices. Despite this claim, the Delaware court had already restricted the network’s ability to present certain defenses. Newsmax criticized the judge in its public statement and insisted the process was unfair.

The U.S. media lawsuit has drawn comparisons to Fox News, which paid $787.5 million to Dominion in a related case last year. That massive payout dented Fox Corporation’s quarterly earnings. While Newsmax’s settlement is smaller, it is still a heavy financial hit for a channel with ratings far below Fox.

Observers praised the Delaware judge for fairness and consistency in handling both cases. His recent promotion to president judge of the Delaware Superior Court reflected his balanced approach to sensitive defamation trials.

Newsmax highlighted that it broadcast a clarification segment in December 2020. However, Dominion pressed forward with its lawsuit, seeking accountability for reputational harm. Beyond this case, Dominion and Smartmatic continue to pursue other defamation suits tied to election misinformation. Newsmax itself settled a $40 million case with Smartmatic last year, avoiding another trial.

The financial burden of these settlements shows how damaging false claims can be for media outlets. Networks, advertisers, and investors now face growing pressure to ensure reporting accuracy. The U.S. media lawsuit against Newsmax underscores how misinformation carries serious financial and legal consequences.

For more business updates, visit DC Brief.

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