CNN Fails To Settle Lawsuit

Mediation talks between CNN and Zachary Young, a Navy veteran suing the network for defamation, broke down last week, clearing the way for the case to head to trial in January 2025.

Young, the owner of security consulting company Nemex Enterprises Inc., alleges that CNN damaged his reputation by portraying him as an illegal profiteer during the Biden administration’s chaotic withdrawal from Afghanistan in 2021.

The lawsuit centers on a segment aired on The Lead with Jake Tapper in November 2021, where CNN correspondent Alex Marquardt accused Young’s company of exploiting desperate Afghans trying to flee the country. Marquardt reported that Young charged $75,000 to transport a vehicle full of passengers to Pakistan, at $14,500 per person to reach the United Arab Emirates—prices described as “exorbitant” and part of a “black market.”

According to Young, this characterization was not only inaccurate but also defamatory, damaging both his personal and professional reputation. He contends that CNN ignored key information he provided to the network, including warnings about factual inaccuracies just hours before the segment aired. Young’s legal team argues that the network’s use of loaded terms like “exploit” and “black market” falsely painted him as a bad actor profiting off people’s desperation.

As NewsBusters reported, mediation talks between the two parties fell apart on September 11, 2024, leading to an impasse. The filing indicated that a substantial settlement offer was likely required to dismiss the case, but no agreement was reached. Young’s lead attorney, Vel Freedman, has stated there is “zero chance this case gets stopped before trial,” as his client is committed to holding CNN accountable.

The case has already cleared significant legal hurdles. Earlier this year, Florida’s First District Court of Appeal ruled that Young presented enough evidence to move forward with claims of actual and express malice, opening the door for punitive damages. The court also noted that internal communications at CNN raised concerns about the accuracy of the reporting.

One email reportedly described the story as “a mess” and “full of holes like Swiss cheese,” yet the network went ahead and broadcast it anyway. Additionally, messages between Marquardt and CNN staff contained derogatory remarks about Young, including profane language.

In light of these revelations, Young is seeking compensatory, emotional, and punitive damages that could total upwards of $1 billion. The case is set to go to trial on January 6, 2025, in front of Judge William Henry in Bay County, Florida. Young and his legal team have already been granted the right to subpoena CNN’s sensitive financial documents to assess the network’s net worth, a move likely intended to gauge potential punitive damages.

While CNN has not commented on the breakdown of mediation talks, the network has previously argued that its reporting was protected under opinion and that internal communications, which critics describe as cavalier, were simply “journalistic bravado.”

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