Pensions Sue Fox Over False Reporting Creating Risk of Defamation Suits

November 22, 2023
Hall Benefits Law, LLC

Pension funds for New York City and Oregon state have sued Fox Corp. and its board of directors in Delaware State Court, claiming that they promoted false reporting, thus inviting defamation suits, to the detriment of shareholders.

According to the pension funds’ complaint, Fox News fails to ensure that its political narrative broadcasts are based on facts or credible sources. Unlike other media companies, it makes no effort to minimize its risk of exposure to defamation claims. The complaint also states that Fox News has no written standards or policies for the news that it broadcasts and refuses to correct factual errors. Instead, Fox sees defamation claims and settlements, including the $787 million settlement with Dominion Voting Systems, as a minimal risk or simply the cost of doing business. Furthermore, Fox’s officers, including Rupert Murdoch and his son, knew the risks of promoting false narratives but blatantly ignored them.

The pension funds claim that Fox adopted an illegal business model to pursue profits by committing defamation, made no good-faith efforts to reduce or monitor defamation risks, and failed to act upon clear signs of risks of defamation claims. Immediately following the 2020 election, Fox News embarked on a campaign to endorse and amplify former President Trump’s claims that President Joe Biden had stolen the election. These claims included allegations that election technology companies Dominion and Smartmatic USA illegally switched votes from Trump to Biden. When the allegations of election fraud were proved baseless, resulting in the astronomical defamation settlement with Dominion, officers of Fox News reaffirmed its programming strategy, leading to more defamation claims against the network. In essence, Fox News allegedly defaulted on its responsibility to minimize the risk of massive tort liability in favor of pandering to its audience.

HBL has experience in all areas of benefits and employment law, offering a comprehensive solution to all your business benefits and HR/employment needs. We help ensure you are in compliance with the complex requirements of ERISA and the IRS code, as well as those laws that impact you and your employees. Together, we reduce your exposure to potential legal or financial penalties. Learn more by calling 470-571-1007.

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Hall Benefits Law, LLC

HBL offers employers comprehensive legal guidance on benefits in mergers and acquisitions, Employee Stock Ownership Plans (ESOPs), executive compensation, health and welfare benefits, healthcare reform, and retirement plans. We counsel a wide spectrum of clients including small, mid-sized, and large companies, 401(k) investment advisors, health insurance brokers, accountants, attorneys, and HR consultants, just to name a few. HBL is passionate about advising clients, and we are dedicated to our mission: to provide comprehensive, personalized, and practical ERISA and benefits legal solutions that exceed client expectations.

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