Insurers Beward: A Chink in the Armor of New York Times v. Sullivan

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Actual Malice in Republication of Defamation by Implication

Read the full article at https://www.linkedin.com/pulse/insurers-beware-chink-armor-new-york-v-sullivan-zalma-esq-cfe and at https://zalma.com/blog plus more than 3900 posts.

Devin Nunes, a Member of Congress from California, appealed an order of the district court dismissing his complaint alleging defamation and conspiracy claims against Ryan Lizza and Hearst Magazine Media, Inc. The claims are based on an article published in Esquire magazine and republished after suit was filed claiming the article was false and defamatory. In Devin G. Nunes v. Ryan Lizza, Hearst Magazine Media, Inc., No. 20-2710, United States Court of Appeals, Eighth Circuit (September 15, 2021) Nunes established the complaint sufficiently alleged defamation by implication and that the defamation was actually malicious.

ZALMA OPINION

Insurers who insure against defamation and have relied on the “actual malice” requirement of defamation of a public figure, should read this decision with care. Although the Eighth Circuit refused to reconsider New York Times v. Sullivan it found actual malice in the republication and allows Nunes to go forward with his suit against Lizza and Hearst. Their insurers will be required to defend through trial and may find a claim for payment of damages. The issue may also reach the Supreme Court where some justices have discussed the need to reconsider the New York Times v. Sullilvan case.

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