A lawsuit brought by institutional shareholders against Fox Corp. alleging that the company’s leaders turned a blind eye to liability risks posed by false reporting on the 2020 election is currently before a Delaware judge. The shareholders claim that former chairman Rupert Murdoch and other Fox Corp. officials failed to address red flags related to reporting on Dominion Voting Systems and Smartmatic USA, leading to financial fallout. In addition, the lawsuit alleges that Fox officials ignored similar concerns raised by a report on the death of DNC staffer Seth Rich. Fox News settled a defamation lawsuit with Dominion for $787 million last year and a similar lawsuit with Rich’s parents for “millions of dollars.” Defense attorneys argue that the case should be dismissed, citing a lack of evidence demonstrating bad faith and failure to meet pleading standards. The judge is expected to rule on the case within 90 days. The lawsuit highlights the ongoing legal challenges facing Fox Corp. related to its reporting on the 2020 election and other issues.
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