Fox and Dominion settle for US$787.5m in defamation lawsuit over election lies

Fox and the voting equipment company Dominion reached a $787.5m settlement in a closely watched defamation lawsuit, ending a dispute over whether the network and its parent company knowingly broadcast false and outlandish allegations that Dominion was involved in a plot to steal the 2020 election.

The settlement came before scheduled opening statements and after an unexpected lengthy delay Tuesday afternoon just after the jury was sworn in. Neither party immediately disclosed the terms of the settlement other than the dollar amount, and attorneys for Dominion declined to answer questions about whether it requires Fox to issue a retraction or a formal apology.

Opening statements were scheduled to start on Tuesday after a lunch break, but the judge and jurors did not return to the room until close to 4pm. During the more than two-hour delay, attorneys huddled and left the courtroom to convene in adjacent meeting rooms.

The anticipated six-week jury trial was originally set to begin on Monday, but Davis, the judge overseeing the case, postponed the start of trial by a day as the sides worked to reach a settlement agreement.

The trial in Wilmington, Delaware, was set to be a blockbuster media trial. Rupert Murdoch, the 92-year-old chief executive of Fox, was called to testify in the case, along with top Fox talent including Tucker Carlson, Sean Hannity, Jeanine Pirro and Maria Bartiromo.

The lawsuit was seen as one of the most aggressive efforts to hold Fox, or any actor, accountable for spreading the lie that the 2020 election was stolen. It was a lie that led to threats against election officials across the country, and ultimately helped fuel the violent attack on the US Capitol on 6 January. Nine deaths have been linked to the event.

Though the case was settled, Dominion had unearthed a stunning trove of internal communications from Fox laying bare how top talent and hosts knew the outlandish claims about Dominion and a stolen election were false. The extensive messages offered a remarkable insight into how some of the most powerful hosts in America did not buy the allegations they were broadcasting to their audience each night.

Fox still faces several legal battles related to its decision to broadcast false claims. Smartmatic, another voting equipment company, is suing the company for $2.7bn. Abby Grossberg, a former Fox employee who worked for Bartiromo and Carlson, is also suing the company, alleging she was coerced into giving misleading testimony.

The network also faces a separate lawsuit from a shareholder who is seeking damages and argues that executives breached their fiduciary duty to the company by causing false claims about the election to be broadcast.

During the press conference, Stephen Shackelford, an attorney who was set to give opening arguments for Dominion on Tuesday, said that the company will continue seeking accountability.