Defamation Suit Dismissed
Federal Judge Dismisses Trump Media's Defamation Suit Against Washington Post Over Lack of Malice
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Key Points
1
The Washington Post article alleged Truth Social financing included an $8 million loan and a $240,000 referral fee, details that were central to the defamation claim and later addressed in corrections.
2
The Post issued a correction stating that discovery in the ongoing litigation established two assertions in the 2023 story were incorrect, underscoring limits to what was known at publication.
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The underlying financing story ties to Trump Media’s planned SPAC merger with Digital World Acquisition Corp, which later received SEC sign-offs and led to the DJT ticker debut on Nasdaq in March.
4
In the separate NYT case, Judge Steven D. Merryday ruled that Florida remains the proper venue and denied The New York Times’ bid to move the case to New York; Trump celebrated the ruling on Truth Social.
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Trump Media’s stock performance remains a pressure point, with DJT down nearly 40% year-to-date as the company continues financial and legal challenges.
A Florida federal judge has dismissed Trump Media and Technology Group's $3.8 billion defamation lawsuit against The Washington Post, dealing a major legal blow to President Donald Trump's social media company, according to KMPH. The suit stemmed from a 2023 Post article about the financing of Truth Social, Trump's social media platform.
The judge found no sufficient evidence that The Washington Post acted with "actual malice" — the legal standard required to prove defamation by a public figure. That standard means a publisher must have known the information was false or acted with reckless disregard for the truth, according to WSET.
What the 2023 Washington Post Story Actually Said
The Post's 2023 article, written by reporter Drew Harwell, alleged that Truth Social's financing included an $8 million loan and a $240,000 referral fee. Trump Media claimed these details were false and damaging. The company was in the middle of a planned merger with Digital World Acquisition Corp, a SPAC — a special shell company used to take firms public without a traditional stock offering, according to WUTV29.
The Post later issued a correction, acknowledging that two specific claims in the story were incorrect — facts that only emerged through legal discovery. Still, the judge ruled that Harwell had conducted a thorough investigation and genuinely believed the article was accurate when it was published, according to WWMT.
Why the Judge Sided With The Washington Post
Under U.S. defamation law, public figures face a very high bar. They must prove the publisher knew the story was false — or simply did not care whether it was true or not. The judge found Trump Media could not clear that bar, according to KOMO News. Harwell's reporting process showed genuine effort to get the story right.
The Post argued throughout the case that its reporter relied on multiple sources and believed the article was accurate at the time of publication. The correction issued later did not prove malice — it showed the limits of what was known before litigation revealed new details, according to WSET.
Trump Media's Stock and Finances Stay Under Pressure
The dismissal adds to a string of legal setbacks for Trump Media. The company's stock, traded under the ticker DJT on Nasdaq, is down nearly 40% year-to-date. The SPAC merger with Digital World Acquisition Corp did eventually close, and DJT shares began trading in March 2024, according to KMPH.
Trump Media continues to face financial scrutiny alongside its legal battles. The company has pursued several high-stakes defamation suits against major news outlets, with mixed results. The Washington Post dismissal is one of the most significant losses so far, according to WWMT.
Trump Wins Venue Fight Against The New York Times
Not all recent court news went against Trump Media. In a separate defamation case against The New York Times, Judge Steven D. Merryday ruled that the case will stay in Florida. The Times had tried to move the lawsuit to New York. The judge denied that request, according to WUTV29.
Trump celebrated the ruling on Truth Social. Keeping the case in Florida is seen as a favorable development for Trump Media, since Florida courts have been viewed as more receptive to his legal arguments. The underlying NYT suit remains active and ongoing, according to KOMO News.
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