In the evolving narrative of U.S. politics, the impact of misinformation and legal ramifications has recently come to a head with the case involving Newsmax and Dominion Voting Systems. The right-wing news outlet, Newsmax, has found itself in a precarious position due to egregious untruths propagated regarding the 2020 presidential election. As a result of a lengthy legal battle, Newsmax will be shelling out a hefty total of $67 million to settle its claims against Dominion. Notably, this amount consists of an immediate payment of $27 million due this month, followed by an additional $40 million to be paid over a span of two years.
The resolution of this case was reached last week, but it was only publicly disclosed in a financial filing made by Newsmax on Monday. According to a spokesperson from Dominion, the company expressed satisfaction with the settlement but refrained from offering additional comments, suggesting a cautious but strategic approach in handling ongoing legal issues and public perception. Notably, there has been no indication that Newsmax will provide any on-air apology or acknowledgment regarding the false claims that were made about Dominion. This particular voting hardware and software company became a focal point for numerous pro-Trump conspiracy theories in the aftermath of the 2020 election, painting a disturbing picture of how misinformation can seep into political discourse.
The roots of this lawsuit trace back to August 2021, following Donald Trump’s unsuccessful attempts to overturn the election results. In the wake of Trump’s defeat, a tide of unfounded allegations regarding electoral fraud began to circulate, with many associated figures, including guests and personalities on Newsmax, contributing to the deluge of disinformation. Earlier this year, a Delaware judge determined that Newsmax had indeed aired defamatory statements about Dominion, notably making unsubstantiated accusations of election rigging. The court had then left it for a jury to decide whether these smears were made with malicious intent, the outcome of which could significantly impact the financial repercussions for Newsmax.
However, just as the trial was on the verge of proceeding in April, it was unexpectedly delayed by the presiding judge, due to reasons unrelated to the case itself. In a twist of fate, the legal salience of financial clout reemerged as a decisive factor, reminiscent of a similar occurrence involving Fox News earlier in 2023. Nearing a trial date, Fox News opted for a settlement with Dominion amounting to an astonishing $787.5 million, an amount that weighed heavily on Fox Corporation’s quarterly earnings and financial projections.
Interestingly, while Newsmax’s settlement may appear substantial, the mechanism behind how the two parties arrived at the $67 million figure remains uncertain. Notably, Newsmax has a significantly smaller viewing audience, reporting television ratings that are approximately one-tenth of those for Fox News. Even as the legal repercussions unfold, other aspects of the pro-Trump campaign’s backlash from the 2020 election continue to linger in U.S. courts.
Despite the settlement with Newsmax, Dominion is still entangled in ongoing litigation, particularly with Smartmatic, another voting technology company. Fox News is engaged in a resolute defense against Smartmatic’s defamation suit. On the other hand, Newsmax had previously settled with Smartmatic itself for $40 million just before a trial was anticipated last fall.
In summary, the ramifications of the 2020 election, fueled by misinformation and subsequent legal battles, continue to reverberate through various channels in the media and political spectrums. Newsmax’s settlement represents not just a financial resolution but also a significant illustration of how the weight of legal accountability bears down on media outlets that propagate unverified information in a politically charged environment. As the landscape continues to evolve, it serves as a stark reminder of the critical intersection between politics, media, and the law in an age increasingly characterized by digital disinformation.