The New York Supreme Court has issued a strategic “split” ruling in the $2.7 billion defamation battle between Smartmatic and Fox News. While the court gave Fox News more room to dig into the voting tech company’s finances, it firmly rejected the network’s attempt to shut the case down.
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- Deep Dive into Damages: The court granted Fox News additional “discovery” rights. This means Fox can now demand more internal records regarding Smartmatic’s business value and operations. Fox’s goal is to debunk the massive $2.7 billion price tag Smartmatic has put on the alleged damage to its brand.
- Green Light for Trial: In a blow to the defense, the judge denied Fox’s motion to dismiss the case. The court ruled that Smartmatic’s claims are legally sound enough to be decided by a jury, keeping the lawsuit on track for a high-stakes trial.
Why It Matters
This case is often viewed as the “sequel” to the Dominion Voting Systems lawsuit, which ended in a historic $787.5 million settlement last year. However, the stakes here are even higher:
- Financial Risk: The damages sought by Smartmatic are more than triple what Dominion originally requested.
- First Amendment Battle: Fox continues to argue that its broadcasts were protected reporting on matters of public interest, while Smartmatic claims the network knowingly spread “disinformation” regarding the 2020 election.
What’s Next?
Expect a heavy “paper war” over the next several months. With discovery expanded, both sides will be combing through years of emails, financial statements, and internal memos before a trial date is finalized.
