A Delaware judge has determined that the conservative news network Newsmax aired false and defamatory statements regarding the involvement of a voting technology company in the 2020 presidential election—a similar conclusion reached earlier regarding Fox News. This ruling follows Newsmax’s recent successful initial public offering.
After President Joe Biden’s election win in November 2020, supporters of former President Donald Trump, through right-wing media channels, accused Dominion Voting Systems of manipulating votes to favor Biden. In his decision, Judge Eric M. Davis asserted that Dominion provided “clear and convincing evidence” showing that Newsmax featured broadcasts containing inaccurate data, likely causing reasonable viewers to negatively perceive Dominion. Newsmax’s clarification posted in December 2020, which admitted a lack of evidence of voter fraud, was cited as the network acknowledging the falsehood of several claims against Dominion.
If the case proceeds to trial as planned later this month, a jury will determine if damages should be awarded and the extent, as well as verify if the network acted with “actual malice” by knowingly broadcasting false information or recklessly ignoring the truth.
This ruling marks another triumph for Dominion in front of Judge Davis, who previously managed a similar defamation case against Fox News, resulting in a $787.5 million settlement right before trial commencement.
Newsmax maintained in a statement that it reported the issue fairly and never defamed Dominion, expressing concern over potential threats to free speech and press — asserting its intent to defend itself vigorously.
The ruling coincides with an eventful period for Newsmax and its CEO, Chris Ruddy. On March 21, Ruddy attended a Delaware court hearing where Dominion’s legal team sought to hold him and other executives accountable. Shortly afterward, Ruddy engaged with former President Trump to promote Newsmax’s public launch, which subsequently saw its stock value surge over 1,000% post-initial public offering. Ruddy and associates, including former lawyer Rudy Giuliani, marked the occasion by ringing the New York Stock Exchange’s opening bell, despite broader market dips due to trade concerns. Within this period, Newsmax also secured a standby purchase agreement worth up to $1.2 billion with Yorkville Advisors.
The financial outlook of the company could continue to fluctuate with Dominion’s $1.6 billion lawsuit advancing to trial. Additionally, Newsmax is approaching a deadline for a $40 million settlement installment with Smartmatic USA, another voting systems firm that also accused the network of defamation following the 2020 election.
In the Dominion lawsuit against Newsmax, scheduled for trial on April 28, Judge Davis ruled that Newsmax broadcasts falsely linked Dominion to the late Venezuelan leader Hugo Chavez and unfoundedly accused it of participating in election fraud domestically and internationally. Dominion attorneys have claimed in court that such allegations have significantly hindered their business, reducing new contracts and customer interest.
The jury will assess the damages Dominion suffered from Newsmax’s broadcasts and deliberate on whether those segments ignored the truth with “reckless disregard.” Judge Davis also granted Dominion’s request to include Newsmax Broadcasting LLC in the lawsuit. In a last-minute tactic, Newsmax’s legal team tried to argue, using a late affidavit from Ruddy, that Dominion was actually suing the incorrect company.
