A Florida jury found CNN liable for defamation and ordered the network to pay $5 million in damages. The jury also ruled that CNN must award punitive damages to the man who sued the network, accusing it of publishing a hit piece against him.
The case centers on a segment aired in November 2021, which featured Navy veteran Zachary Young, a security contractor, in a story about Afghan refugees paying to leave the country after the U.S. withdrawal.
CNN referred to Young as the only named private contractor involved in the evacuations and described his operations as “black market.” The network later issued an on-air apology for using the term “black market.”
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Young, who said he was contracted by corporations and not Afghan refugees, argued the report falsely portrayed him as a criminal. CNN defended its reporting during the trial.
However, the jury sided with Young, declaring the report “materially false” and made with “at least negligence.”
The jury has yet to decide on the amount of punitive damages, but it will hear testimony about CNN’s financial situation. CNN’s legal team has already urged the jury to show leniency, citing the network’s financial decline.
CNN's top lawyer, in trying to appeal to the jury to award a small punitive damages award, acknowledges that "you're going to see that the net worth of the company is actually in a subtle decline. You're also going to hear about the headwinds facing the entire media environment."
— Jeremy Barr (@jeremymbarr) January 17, 2025
According to Washington Post reporter Jeremy Barr, CNN’s top lawyer acknowledged the network’s “subtle decline,” pointing to financial documents obtained during the trial. Barr reported that CNN’s net income dropped from $600 million in 2021 to $300 million in 2022, with a slight increase in 2023. Additionally, CNN’s net worth fell from $4.4 billion in 2021 to $2.2 billion in 2022.
Defamation lawsuits against the media rarely reach a jury trial, with most being settled or dismissed. This case is seen as unique, and its outcome could lead to more lawsuits against media companies, which are already facing a decline in revenue and trust.
