The Gateway Pundit, a far-right website infamous for disseminating conspiracy theories, has filed for Chapter 11 bankruptcy amidst a barrage of defamation lawsuits. Jim Hoft, the owner of The Gateway Pundit, released a statement on the website attributing the bankruptcy to what he described as “progressive liberal lawfare attacks against our media outlet.” However, he did not acknowledge any wrongdoing.
The online platform, established by siblings Jim and Joe Hoft, is currently entangled in a legal battle with Georgia election workers Ruby Freeman and Wandrea “Shaye” Moss. The lawsuit stems from false allegations of election fraud in the 2020 U.S. presidential election, which led to harassment against Freeman and Moss. Protect Democracy, the nonprofit organization representing Freeman and Moss, opted not to provide a statement regarding the bankruptcy declaration.
Furthermore, The Gateway Pundit recently reached a settlement in a lawsuit brought forth by a former official of Dominion Voting Systems, a voting technology company. Dominion was a target of conspiracy theories surrounding election fraud in 2020.
Hoft stated in the announcement that the bankruptcy is a strategy to consolidate lawsuits against the platform. However, Mark Bankston, an attorney at Farrar & Ball law firm who represented parents of Sandy Hook school students in a defamation case against conspiracy theorist Alex Jones and his outlet Infowars, emphasized that Chapter 11 bankruptcies are primarily intended to aid small businesses in restructuring.
Bankston remarked, “It’s not actually meant to be used as a tool of what they seem to be using it for. This process is being used by defendants who are facing libel lawsuits. And in particular, it tends to be right-wing, extremist publications or individuals.” The bankruptcy filing of The Gateway Pundit’s parent company reveals liabilities ranging between $100,001 and $500,000, and assets between $500,001 and $1 million.
Following the award of more than $1 billion in damages against him by Sandy Hook families in 2022, Jones similarly filed for Chapter 11 bankruptcy. However, due to the protracted nature of the bankruptcy proceedings, the families are still awaiting compensation.
The election workers who initiated legal action against The Gateway Pundit also sued former Trump campaign attorney Rudy Giuliani, who filed for bankruptcy in December following a $148 million judgment against him.
Bankston expressed, “There’s been a lot of hope recently in our legal system that certain plaintiffs are going to be able to find justice through the courts. Unfortunately, these bankruptcy proceedings sort of temper that hope. There is a lot of legal process in this country that is designed to assist those who have a lot of resources to avoid paying their just debts.”
Accusations of stalling legal proceedings have already been directed at The Gateway Pundit. Bankston highlighted the necessity of time, resources, and lawyers willing to wait for payment to support such legal battles.
Despite potential delays, the financial repercussions of lawsuits against platforms like Infowars and The Gateway Pundit are substantial. Bankston noted, “Jurors are not happy when someone takes private people and spreads these lies about them and… turns their world upside down. Juries will not forgive that when powerful people do that.”
Previously, The Gateway Pundit garnered significant online traffic, particularly via social media platforms like Facebook. However, like other media outlets, it has experienced a decline in traffic due to decreased news consumption and shifts within the industry, such as Meta, the owner of Facebook, deprioritizing news content.
Relevant articles:
– Gateway Pundit files for bankruptcy after election conspiracy defamation lawsuits, npr.org, 04/25/2024
– Gateway Pundit to file for bankruptcy amid election conspiracy lawsuits, The Washington Post, Wed, 24 Apr 2024 23:33:00 GMT
– US far-right outlet Gateway Pundit declares bankruptcy, Al Jazeera English, Thu, 25 Apr 2024 01:37:03 GMT
– St. Louis-based Gateway Pundit to file for bankruptcy amid lawsuits, owner says, St. Louis Post-Dispatch, Wed, 24 Apr 2024 23:08:00 GMT
– A Popular Conspiracy Theory Website Just Declared Bankruptcy, HuffPost, Wed, 24 Apr 2024 22:41:16 GMT