A New York state appeals court has denied Fox Corp’s motion to dismiss a $2.7 billion defamation lawsuit filed by Smartmatic, allowing the case to proceed to trial. Smartmatic, a voting technology company, alleges that Fox News, under the direction of Rupert Murdoch and his son Lachlan Murdoch, engaged in a disinformation campaign by promoting false claims of election rigging in the 2020 presidential election.
This ruling follows a precedent set by a similar lawsuit from Dominion Voting Systems, which Fox settled for $787.5 million.
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The court found Smartmatic’s claims that Fox Corp. directly participated in spreading misinformation to be sufficient to continue the case.
Fox Corp has stated it is prepared to defend its actions at trial but criticized Smartmatic’s damages claims as implausible. The lawsuit remains in the discovery phase and could either proceed to trial or result in an out-of-court settlement.
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