from the DJT-keeps-putting-‘bastard’-in-‘christ-what-an-asshole’ dept
With the exception of ABC News being weird and just throwing money at Trump for no apparent reason, every single libel lawsuit filed by Donald Trump (or his various business holdings) has failed. This is another one for the loss column. And, despite all these losses, Trump will continue to file lawsuits whenever and wherever there is a chance of causing pain, because there is no national anti-SLAPP law. With him taking office (again!) this year, there’s no reason to believe we’ll see anti-SLAPP bills come up for a vote for at least the next four years.
Trump has sued the Washington Post before, represented by Charles Harder, and it didn’t happen.
In this case, the situation has taken a turn for the worse. Instead of Harder, Steven Biss was the first attorney listed in the original complaint. Biss made a name for himself (and not a good one!) for losing lawsuit after lawsuit on behalf of a parade of MAGA clients, starting with Devin Nunes, who also likes to engage in pointless libel litigation.
Either way, it’s another loss for the runner-up (in terms of the presidential race, anyway). The social media company Truth Trump (Trump Media & Technology Group Corp. [TMTG]) sued the Washington Post for daring to criticize social media as well—and for reporting based on reliable sources. (h/t Adam Steinbaugh)
Trump’s company first sued in state court, hoping Florida’s friendly border would save them from making a credible defamation argument. The lawsuit was kicked all the way to federal court, meaning there’s no anti-SLAPP to worry about, but it also prevents Trump from exploiting state borders run by fascists wearing 3-inch elevators in jackboots.
The article that Trump sued was published by the Washington Post in May 2023. The headline clearly made Trump too angry to get litigious.
Trusts associated with porn-friendly banks may acquire shares in Trump’s Social Truth
How, one might ask. Yes, there are other details related to the title covered in the federal court ruling [PDF].
The article relates that at the end of 2021, with the proposed merger “frozen” and TMTG [Trump Media & Technology Group] concerned about paying its bills, then-DWAC [Digital World Acquisition Corp.] president Patrick Orlando announced he had arranged an $8 million loan from an entity called “ES Family Trust.”
According to the article, the loan is part of a deal where TMTG will receive a loan and, in exchange, ES Family Trust will acquire an equity interest in a public entity that will be formed from the merger of TMTG and DWAC. This debt-for-stock deal was reflected, according to the article, in a convertible promissory note, although the article acknowledged that the only copy of the note that the Post could find was unsigned.
The article reports that some of the funds were channeled by another entity, Paxum Bank, which has ties to the ES Family Trust and the adult film industry.. Also, according to the article, TMTG paid a $240,000 opinion fee related to the loan to Entoro Securities, a Texas entity that was Orlando’s managing director. Although the article does not show specific documents proving the payment, the article shows the broker’s agreement on the fee and the invoice for the payment from Entoro.
So, it’s unbelievable that entities that are “related to porn” “could” have a financial stake in Trump’s Social Truth efforts.
The article also notes that the British journal The Guardian previously reported that federal prosecutors in New York are investigating whether TMTG violated money laundering laws in connection with the loan, and TMTG Chief Executive Officer Devin Nunes has filed a lawsuit against Wilkerson and others (including The Guardian) asserting that the Guardian story was “fabricated”.
Sometimes, you find a competent lawyer. If you’re Devin Nunes (and by extension, Donald Trump), you’ll find only a lawyer willing to represent you.
Most of Biss’s lawsuits were handed over to fellow Trumpist lawyer Jesse Binnall (after Biss was removed from several cases “on grounds of disability.”). But the cases are still pending in court. The court first dismissed this lawsuit in March 2024. But it gave Trump and anyone involved a chance to amend the lawsuit.
The amended claim is no better. In fact, narrowing the scope of litigation actually makes things worse for plaintiffs.
As a result of TMTG’s amendment, it is now clear that TMTG does not challenge the accuracy of many of the stories in the Post article, including the claim that TMTG borrowed $8 million from an entity or entities related to adult films. industry, that the loan deal involves the promise of stock in the company will be formed by the merger, and some TMTG executives were concerned about the lack of information about the creditor.
That narrowed the lawsuit to a single claim that the Washington Post maliciously (in the legal sense) misrepresented TMTG in accordance with SEC (Securities and Exchange Commission) funding disclosure guidelines.
Still wrong, said the court. The implications in the Post’s article have enough factual support to clear the bar of actual malice.
TMTG states that there is no evidence to support the proposition that Posting acted in bad faith in publishing the statement. TMTG’s alleged conclusion that Post knew the ES Family Trust’s disclosure was not required was based on Post’s “considered expert consultation” rejected by Ohlrogge’s opinion cited in the article.
Based on that opinion, the Post is reasonably confident that disclosure is required, and TMTG’s amended complaint contains no facts that would suggest the Post is aware of a contrary expert or other authority that would know that Ohlrogge’s opinion is incorrect or has serious doubts. the score. Equally inadequate is TMTG’s allegation that the Post “knew” that disclosures from ES Family Trust were not required based on the presence of any disclosures from other creditors in DWAC’s public filings. The article does not assert that TMTG or DWAC must disclose ES Family Trust loans because disclosures from lenders are generally required. It expresses Ohlrogge’s opinion that disclosure is required in this case because of the problems associated with this particular loan.
Here’s who Ohlrogge is and what his opinion on this decision means:
At [Washington Post] The article states that neither the loan-for-stock deal nor the finder’s fee was disclosed to DWAC shareholders or the SEC. It further reports the opinion of Michael Ohlrogge, a New York University law professor who studies SPACs, that this matter can affect the value of shares and should be disclosed.
Unfortunately, the plaintiff in this case will take another swing at this, despite having lost twice. Unfortunately, the wording in the conclusion of the decision appears to be that Trump appointee Judge Thomas Barber really wants TMTG to find a way to move the case, even if that means taking away the First Amendment from someone else.
For the reasons stated above, the amended complaint cannot allege a claim for defamation or a claim for conspiracy. Due to the above-mentioned shortcomings, and considering the significant obstacles posed to the plaintiff by the current defamation lawasserting a claim for relief presents significant challenges. However, in an abundance of caution, the Court will dismiss the amended complaint without prejudice and allow TMTG another opportunity to amend.
Yes, the “significant obstacle” is there for a reason, Judge Barber. Don’t pretend this isn’t fair. It prevents powerful people from silencing critics and prevents politicians from hiding behind business interests to punish journalists for reporting good facts and conclusions. This less than subtle attack on decades of libel law jurisprudence is, at best, ill-advised. At worst, it signals to those watching cases like this that you’re going to give the type of person you like as mulligans as you can in the hope that you’ll end up staying with the person you like. don’t like.
Filed Under: fake lawsuit, defamation, donald trump, free speech, libel, slap suit, steven biss
Company: trump media, truth social, washington post
