285 F. Supp. 3d 629
S.D. Ill.2018Background
- Cortes was a VP at Fox News Latino; Tamara Holder, a Fox News contributor, alleged Cortes sexually assaulted her in Feb 2015. Cortes disputes that characterization.
- After Holder disclosed her allegation to Fox in Sept–Oct 2016, Fox terminated Cortes and Cortes signed a severance agreement containing a non‑disparagement clause.
- Holder and Fox (and others) executed a separate Holder Settlement Agreement in Feb 2017; Cortes assented only to specific paragraphs (6c and 12). Paragraph 12 contained a non‑disparagement clause; paragraph 6c released Holder parties.
- The New York Times published an article in March 2017 recounting Holder’s allegations and including a joint statement by Fox and Holder describing Holder’s report and Fox’s investigation and response (the Joint Statement).
- Cortes sued Fox entities alleging breach of contract, fraudulent misrepresentation, civil conspiracy, intentional interference with contractual relations, and defamation (libel/slander) based on the Joint Statement and events surrounding the Holder Settlement Agreement. Defendants moved to dismiss under Rule 12(b)(6).
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Breach of contract: Did the Joint Statement breach the Holder non‑disparagement clause? | The Joint Statement and related conduct disparaged Cortes and breached the agreement. | The Joint Statement does not mention Cortes and contains truthful, non‑disparaging content. | Dismissed — Joint Statement not plausibly disparaging of Cortes. |
| Fraudulent misrepresentation: Did Defendants make false statements that induced Cortes to assent to the Holder settlement? | Paul, Weiss and Fox misrepresented redactions and scope of release/Paragraph 10, inducing assent. | Alleged statements were true or conceded as not false; pleadings lack Rule 9(b) particularity and reliance. | Dismissed — allegations conceded or inadequately pleaded under Rule 9(b); no plausible detrimental reliance. |
| Civil conspiracy: Can Cortes state conspiracy to defraud? | Defendants conspired with Holder, NYT, and others to scapegoat Cortes. | No independent actionable tort was plausibly pleaded; conspiracy claim depends on dismissed fraud claim. | Dismissed — no underlying tort adequately pleaded, so conspiracy fails. |
| Intentional interference with contract: Did Defendants tortiously interfere with Cortes’s contract? | Defendants improperly procured breach of Cortes’s contractual rights. | Defendants were parties to the Holder Settlement Agreement and cannot interfere with their own contract. | Dismissed — defendants were parties to the contract; claim cannot stand. |
| Defamation (libel/slander/per se): Did Defendants publish false and defamatory statements concerning Cortes? | The Joint Statement and NYT publication injured Cortes’s reputation and were false/malicious. | Joint Statement is true/substantially true, does not identify Cortes, and Fox did not write NYT article; no defamatory of and concerning Cortes. | Dismissed — Joint Statement not proven false nor reasonably "of and concerning" Cortes; slander claim fails because alleged statement was written. |
Key Cases Cited
- Ashcroft v. Iqbal, 556 U.S. 662 (pleading standard; plausibility requirement)
- Bell Atl. Corp. v. Twombly, 550 U.S. 544 (pleading standard; plausible claim requirement)
- Greenfield v. Philles Records, Inc., 98 N.Y.2d 562 (contracts: enforce clear, unambiguous written terms)
- Law Debenture Trust Co. of N.Y. v. Maverick Tube Corp., 595 F.3d 458 (contract ambiguity principles)
- Lerner v. Fleet Bank, N.A., 459 F.3d 273 (elements of fraud and Rule 9(b) particularity)
- TVT Records v. Island Def Jam Music Grp., 412 F.3d 82 (a defendant cannot tortiously interfere with its own contract)
- Khan v. New York Times Co., 269 A.D.2d 74 (a defendant cannot be held liable for a libelous statement it did not write or publish)