Disney and ABC News are facing criticism for their massive settlement with Trump: "A new low in journalistic standards."
Trump's defamation suit was settled for $15 million by ABC.
President-elect Donald Trump is still receiving criticism from ABC News over their large settlement.
Trump sued ABC News and George Stephanopoulos after the anchor repeatedly claimed he was found "guilty of rape" during a heated exchange with Rep. Nancy Mace earlier this year on his Sunday program, "This Week." However, a jury had actually determined Trump was liable for "sexual abuse," which has a different definition under New York law.
On Saturday, the settlement was publicly filed, indicating that the two parties had reached an agreement and avoided a costly trial. As part of the settlement, ABC News will make a charitable contribution of $15 million to a "Presidential foundation and museum to be established by or for the plaintiff, as presidents of the United States of America have established in the past." Additionally, the network will pay $1 million in Trump's attorney fees.
The criticism of ABC News has mainly come from outspoken liberals who are appalled that the network has bent its knee. However, a former high-level ABC News staffer is particularly annoyed that Stephanopoulos, who is said to earn more than $15 million annually, continues to receive a substantial salary.
The former staffer criticized George Stephanopoulos' continued high salary from ABC despite making false and defamatory statements, low ratings on "GMA," and his inability to moderate the presidential debate. The staffer urged Bob Iger to put an end to the "self-debasing cronyism" and let George go.
Stephanopoulos' "Good Morning America" has lost its viewership crown to NBC's "Today" in recent weeks, and ABC selected David Muir and Linsey Davis to moderate its high-profile presidential debate in September. Despite being a longtime insider and former aide to Bill Clinton, Stephanopoulos' salary is not justified under these circumstances, according to the insider.
Others have directed their criticism towards Disney CEO Bob Iger and ABC News.
Jen Psaki of MSNBC stated that Trump is trying to cultivate a climate of terror.
On Monday night, Psaki informed MSNBC viewers that Trump and his team use threats, pressure, and intimidation to change things they dislike, and this tactic is successful.
"Psaki stated that the officials are motivated to repeat the action because they are rewarded for it. She emphasized that this is not meant to minimize the fear of legal action, loss of political power, or the danger to public officials' safety and security, which are all legitimate and terrifying concerns."
Psaki, who served as President Biden's first press secretary, emphasized the importance of remembering that the pattern she established could result in a country where journalists are hesitant to speak truth to power or where elected officials do not hold individuals accountable.
On Monday, Washington Post media critic Erik Wemple criticized ABC News in a piece, describing the current state of affairs as "a low point" for the network.
"ABC News will always be remembered for its capitulation, as Wemple wrote. The $15 million settlement was the most gobsmacking aspect of the agreement," he added.
The president-elect scored a big victory on a sleepy December weekend, with ABC News, a founding member of the mainstream media, serving as a founding member of the Donald J. Trump Presidential Library.
According to Wemple, ABC and its anchor were criticized for "standard-issue intransigence" by an American media outlet, and he expressed confusion over the network's easy surrender to Trump's demands.
Matthew Belloni, a founding partner of Puck, stated that the case seemed winnable for Disney until it was settled. He believes the outcome was due to Iger's desire to maintain good relations with the incoming administration.
In a conversation with Kim Masters, Belloni stated that Stephanopoulos falsely claimed Trump was found guilty of rape when the jury only found him guilty of sexual abuse. However, this type of mistake, particularly against a public figure like Trump, rarely meets the high standard of "actual malice" required in defamation cases. Belloni also noted that Iger likely knew there would be a backlash to the settlement, especially given the current political climate and Trump's allies using it to attack the media.
"Disney faces a persistent issue with Trumpworld viewing ABC News as excessively "biased" due to its rigorous fact-checking during debates and the longstanding relationship between TV chief Dana Walden and Kamala Harris, according to Belloni."
Belloni stated that the two primary theories are that "the Trump lawsuit has uncovered potentially damaging information or correspondence at ABC News that Disney does not want exposed" or "this is Iger's attempt to appease Trump and avoid a public trial against a sitting president."
"I’m in the latter camp," Belloni said.
If ABC News hadn't settled, the lawsuit would have been dismissed, according to NBC News' Chuck Todd.
"Todd stated in an interview with Chris Cillizza that media companies sometimes unite to prevent the success of certain suits. He explained that there is a fear of a slippery slope and that this development was a shocking and gut-punching moment for anyone working at a major media company, as it sets a precedent that could be challenging to reverse."
Multiple attorneys have told Planet Chronicle Digital that ABC News was wise to settle to protect itself from a potentially embarrassing discovery process, as some believe the suit would have been tossed eventually.
An ABC spokesperson stated that they are pleased with the agreement reached by the parties to dismiss the lawsuit as outlined in the court filing.
This report was contributed to by Gabriel Hays, Brooke Singman, and Hanna Panreck from Planet Chronicle Digital.
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