A Delaware judge on Thursday refused to throw out a $787 million defamation lawsuit brought by California Gov. Gavin Newsom (D) against Fox News, ruling the governor has plausibly alleged the network knowingly aired false claims that he lied about a phone call with President Donald Trump during the June 2025 Los Angeles immigration protests.
The decision sends the case toward discovery, the same litigation phase that produced damaging internal communications in Fox's prior $787 million settlement with a voting systems company.
Superior Court Judge Sean P. Lugg denied Fox's motion to dismiss, its motion to strike under California's anti-SLAPP statute, and its bid for attorneys' fees, finding it "reasonably conceivable" that Fox News Network knew its statements were false when it aired them.
The 42-page opinion concluded that Newsom's allegations could survive "even when viewed through the more discerning lens" applied to defamation claims by public officials.
The dispute centers on a 16-minute call between Newsom and Trump late on June 6, 2025, as protests against federal immigration enforcement spread across Los Angeles.
Four days later, Trump told reporters he had spoken with Newsom "a day ago."
Newsom replied on X that "There was no call. Not even a voicemail," referring to the timing Trump described.
Trump then provided Fox a phone log of the earlier call, the opinion said, and host Jesse Watters aired an edited clip omitting Trump's "a day ago" remark beneath a chyron reading "Gavin Lied About Trump's Call."
Lugg rejected Fox's argument that Watters' on-air questions were protected opinion, writing that the broadcast, announced as a "Fox News Alert," could reasonably be understood by an average viewer as a factual assertion.
He also found Newsom adequately pleaded actual malice, citing allegations that Fox excluded Trump's temporal qualifier and pursued a "preconceived narrative" against the governor.
The court also rejected Fox's forum challenge, noting that Delaware is the network's corporate home.
Lugg also denied Fox's request for attorneys' fees tied to Newsom's withdrawal of a California Unfair Competition Law claim, declining to apply California or New York anti-SLAPP procedures to a Delaware case.
Newsom responded on X with a brief post: "Looking forward to discovery."
Fox News Media said in a statement that it "respectfully disagree[s]" with the ruling and called the suit "a blatant attempt to silence free speech and weaken the First Amendment."
Jim Thomas ✉
Jim Thomas is a writer based in Indiana. He holds a bachelor's degree in Political Science, a law degree from U.I.C. Law School, and has practiced law for more than 20 years.
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