A New York appeals court on Thursday turned down Fox Corp’s request for dismissal from Smartmatic’s $2.7 billion defamation case against the media entity and its Fox News channel.
The voting technology firm based in the UK initiated the lawsuit in 2023, alleging that the network repeatedly amplified former President Donald Trump’s unfounded claims of electoral fraud during the 2020 election, according to a report by Reuters.
Fox maintains that its network is not liable for relaying statements issued by Trump’s legal representatives, arguing that it was performing its role as a journalistic entity.
Nonetheless, in 2023, Fox agreed to a $787.5 million settlement with Dominion Voting Systems over a comparable lawsuit filed by the voting technology firm.
“We are prepared to contest this case related to highly significant news events when it goes to trial. A report prepared by our financial expert indicates that Smartmatic’s claims for damages are implausible, disconnected from reality, and seem designed to undermine First Amendment rights,” Fox stated in remarks to the Daily Beast.
As reported by Reuters, a panel of five judges determined that Smartmatic’s lawsuit is set to proceed to trial. Besides monetary compensation, Smartmatic, which has already concluded settlements with right-leaning networks Newsmax and One America News, is also requesting “an apology” alongside a “full retraction,” as noted by the New York Times.
Attorneys for Smartmatic have sought to directly interrogate Rupert Murdoch, the 93-year-old former CEO of Fox Corp and News Corp, regarding his succession strategy for his vast entertainment news empire, aiming to uncover details about his editorial influence in the company, as reported by the Associated Press.
Murdoch’s succession plan has garnered significant attention after he made attempts to restructure his estate to provide his eldest son Lachlan Murdoch, 53, with sole control over the estimated $22.5 billion family trust, according to Forbes. The Wall Street Journal stated that Murdoch intends for Lachlan to maintain the network’s distinctly right-wing perspective well beyond his lifetime.
However, a Nevada court rejected the changes to his trust, leading to a legal dispute among his remaining children Lachlan, 53, James, 51, Elisabeth, 56, and Prudence, 66, over modifications to Murdoch’s will.
Initially, Murdoch had planned to allocate equal control of his assets to his four oldest offspring, along with equal financial distributions, and additional shares for his youngest children, Grace, 23, and Chloe, 21.