Donald Trump has reached a $16m settlement with Paramount, the parent of CBS News, over what he claimed was false editing of a pre-election interview with the Democratic candidate for president, Kamala Harris, in what is likely to be seen as a further example of capitulation by media companies hoping to smooth the waters with Trump.
Trump had filed a $10bn lawsuit against the company in October, one of a string of legal actions against US media conglomerates over what the US president maintains was biased, incorrect or “fake” news reporting.
In a late-night announcement, Paramount – which is preparing for a $8.4bn merger that requires approval from the the US Federal Communications Commission, headed by Trump loyalist Brendan Carr – said it would pay the sum to settle the suit.
It said the money would be allocated, at Trump’s discretion, either to his future presidential library or to charitable causes, and not paid to Trump “directly or indirectly”.
“The settlement does not include a statement of apology or regret,” the company statement added.
A spokesperson for Trump’s legal team told the Wall Street Journal that the settlement was “another win for the American people as he, once again, holds the Fake News media accountable for their wrongdoing and deceit”.
The lawsuit alleged that CBS, via its news show 60 Minutes, deceptively edited an interview with Harris – then the US vice-president as well as the Democratic presidential candidate – to “tip the scales in favor of the Democratic party” in the election. On the campaign trail last year, Trump threatened to revoke CBS’s broadcasting licence if elected.
The lawsuit also alleged that CBS aired two versions of the interview in which Harris appeared to give different answers to the same question about the Israel-Hamas war. CBS said the lawsuit was “completely without merit” and had asked a judge to dismiss it.
In an amended complaint filed in February, Trump increased his claim for damages to $20bn and added a claim that CBS’s editing of the interview violated the Texas Deceptive Trade Practices-Consumer Protection Act, which makes it illegal to use false, misleading or deceptive acts in commerce.
The lawsuit was filed in Amarillo, Texas, a portion of a federal district court where the sole judge is a 2019 Trump appointee. The case entered mediation in April.
The settlement includes an agreement that 60 Minutes would release transcripts of interviews with future US presidential candidates after they aired, subject to redactions as required for legal or national security concerns.
The White House did not immediately respond to a request for comment. Edward A Paltzik, a lawyer representing Trump in the civil suit, could not be immediately reached for comment.
Paltzik has previously said “real accountability for CBS and Paramount will ensure that the president is compensated for the harm done to him, and will deter the fake news from further distorting the facts to advance a partisan agenda”.
The settlement comes as Paramount prepares for an $8.4bn merger with Skydance Media, which requires the approval of federal regulators at the FCC.
But US and California lawmakers have said any settlement may violate bribery laws.
“Paramount appears to be trying to settle a lawsuit that it has assessed as ‘completely without merit’,” the Democratic senators Elizabeth Warren, Bernie Sanders and Ron Wyden said in a May letter to Paramount’s chair, Shari Redstone.
“Under the federal bribery statute, it is illegal to corruptly give anything of value to public officials to influence an official act.
“If Paramount officials make these concessions in a quid pro quo arrangement to influence President Trump or other Administration officials, they may be breaking the law.”
Sanders said it was “a dark day for independent journalism and freedom of the press – an essential part of our democracy. It is a victory for a president who is attempting to stifle dissent and undermine American democracy.”
The settlement is the latest example of media corporate parent companies making concessions to Trump and the Trump administration, which frequently casts unfavorable coverage as “fake news”.
On Tuesday, Trump and the homeland security secretary, Kristi Noem, threatened to sue CNN over its reporting on an app designed to help people avoid Immigration and Customs Enforcement agents, and over the reporting of a damage assessment on Iran’s nuclear facilities that was unfavorable to the administration’s claims.
The settlement also comes after Meta Platforms, the Facebook and Instagram parent company, said on 29 January it had agreed to pay about $25m to settle a lawsuit by Trump over the company’s suspension of his accounts after the 6 January 2021 attack at the US Capitol.
Paramount’s decision to settle the case – which has reportedly caused deep upset in the CBS newsroom – also follows ABC News agreeing to pay $15m to Trump to settle a defamation lawsuit over inaccurate comments by the anchor George Stephanopoulos that Trump had been found civilly liable for rape.
