Gawker and Hulk Hogan Reach Settlement

2016-11-02 16:52:12

 

Gawker and Hulk Hogan Reach Settlement

Gawker Media, which filed for bankruptcy after losing a lawsuit brought by the former professional wrestler Hulk Hogan, has settled the case, bringing to a close a multiyear saga that led to the demise of the company as an independent news organization.

The settlement, which court documents indicate is for $31 million, comes less than eight months after a judge awarded Mr. Hogan, whose real name is Terry G. Bollea, $140 million in damages in an invasion of privacy case lawsuit over Gawker.com’s publication of a video that showed Mr. Bollea having sex with a friend’s wife. Gawker will forgo its appeal of that judgment.

The significant financial pressure from the judgment — and the revelation that Peter Thiel, the billionaire Silicon Valley entrepreneur, was financing the lawsuit and others against the company — forced Gawker to file for Chapter 11 bankruptcy and sell itself through an auction, which Univision won in August with a bid of $135 million.

“After four years of litigation funded by a billionaire with a grudge going back even further, a settlement has been reached,” Nick Denton, the founder of Gawker, said in a blog post.

”All-out legal war with Thiel would have cost too much, and hurt too many people, and there was no end in sight,” Mr. Denton added. “Gawker’s nemesis was not going away.”

Mr. Denton did not disclose the financial details of the settlement. As part of the deal between the sides, three Gawker.com articles will be removed from the internet, including the one involving Mr. Hogan.

“As with any negotiation for resolution, all parties have agreed it is time to move on,” David Houston, a lawyer for Mr. Hogan, said in a statement.

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