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Fox News settles defamation case for $787.5m, avoiding trial

Justin Nelson and fellow members of the Dominion Voting Systems legal team after Fox News settled a defamation case brought by the company

WILMINGTON - Fox News reached a $787.5-million settlement in a defamation case brought by voting technology company Dominion that alleged the network knowingly aired false claims linking its machines to a conspiracy to undermine the 2020 US election.

The agreement to end the case avoided what most experts suggested would have been a damaging, high-profile trial for the conservative channel in which owner Rupert Murdoch would have been compelled to testify in open court.

Judge Eric Davis announced the last-minute agreement after the 12 jurors had been selected and the Delaware Superior Court was readying to hear opening arguments.

Fox News said in a statement it was "pleased" to have ended the dispute and added: "We acknowledge the court's rulings finding certain claims about Dominion to be false."

Dominion CEO John Poulos told reporters outside the court that Fox had "admitted to telling lies about Dominion that caused enormous damage to my company, our employees, and our customers. Nothing can ever make up for that."

The proceedings, trailed by the New York Times as "the defamation trial of the century," had been due to test the limits of free speech rights for media in America when wilfully broadcasting misinformation.

Analysts had predicted the Fox News trial could have been one of the most consequential libel hearings in US legal history
2019 Getty Images
GETTY IMAGES/Getty Images via AFP | Drew Angerer

Analysts had predicted it could be one of the most consequential libel hearings in US legal history.

The settlement, believed one of the largest in a defamation case ever, means star anchors, such as Tucker Carlson and Sean Hannity will also avoid appearing on the witness stand.

US media reported that the agreement does not require Fox hosts to apologize on-air or admit spreading falsehoods.

Dominion sued Fox News for $1.6-billion in March 2021, alleging it promoted Donald Trump's baseless claim that its machines were used to rig the presidential election he lost to Joe Biden.

Dominion argued that Fox aired the lies despite knowing they were untrue.

It said the network began endorsing Trump's conspiracy because the channel was losing audience to smaller rivals after it became the first television outlet to call the southwestern state of Arizona for Biden, effectively projecting the Democrat would win the presidency.

Fox News denied defamation. It claimed it was only reporting on Trump's allegations, not supporting them, and was protected by free speech rights enshrined in the First Amendment of the US Constitution.

The protection makes it difficult for plaintiffs to win defamation suits in the United States.

In pre-trial hearings, Davis ruled that there was no question Fox aired false statements about Dominion.

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