Newsmax has settled a defamation lawsuit from voting machine company Smartmatic over the right-wing network’s false reporting on fraud claims in the 2020 presidential election.
A deal was reached Thursday as the two sides were headed for trial in a Delaware court where jury selection was scheduled to begin.
“Newsmax is pleased to announce it has resolved the litigation brought by Smartmatic through a confidential settlement,” the Boca Raton, Fla.-based network said in a statement.
Smartmatic’s suit said Newsmax provided a platform for its hosts, Donald Trump and the former president’s attorneys and allies to falsely claim that the company’s software was manipulated to deliver the election for President Biden.
Smartmatic’s equipment was used only in Los Angeles County in 2020 and not in any of the swing states that helped decide the election.
The claims were given ample airtime on Newsmax despite a lack of credible evidence of fraud and a complete rejection of Trump’s legal challenges in the courts. Smartmatic says it lost business because of the bogus statements.
According to a statement from a Newsmax attorney during a pretrial hearing, Smartmatic had sought $1.7 billion in damages and then revised that ask to about $400 million. But Judge Eric Davis ruled Monday that there would be no punitive damages in the case and that Smartmatic would have to prove the actual financial impact of Newsmax’s actions.
Smartmatic narrowed the damages claim to the period of 2021 to 2023 so that a federal investigation into its actions overseas would not be entered into evidence. Smartmatic’s founder, a current employee and a former executive were indicted this year over alleged bribery of officials in the Philippines. Smartmatic has not been charged as a company but remains under investigation.
Smartmatic has a similar $2.7-billion defamation suit against Fox News that could go to trial in New York next year.
“We are very pleased to have secured the completion of the case against Newsmax,” a Smartmatic representative said in a statement. “We are now looking forward to our day in court against Fox and Fox News. Lying to the American people has consequences.”
Fox News shelled out $787 million in a settlement with Dominion Voting Systems just before that case went to trial in April 2023. Like Smartmatic, Dominion said Fox News’ reporting on false claims of election fraud damaged its business.
Court filings that supported Dominion’s claims contained internal emails and communications showing Fox News management and on-air talent were aware of the falsehoods.
Fox News has said that Trump’s election fraud claims were newsworthy and that its reporting on them was protected by the 1st Amendment.
“We look forward to defending this case when it goes to trial,” a representative for the network said in a statement.
