ABC News, owned by entertainment giant Disney, is under heavy scrutiny following its decision to settle a high-stakes defamation lawsuit brought by former President Donald Trump. The $15-million settlement, announced Saturday, has sparked criticism from across the political spectrum, with many questioning the implications of such a move by one of America’s most prominent news organizations.
A Controversial Agreement
The settlement stems from a defamation suit filed by Trump earlier this year. ABC News agreed to contribute $15 million to Trump’s presidential library fund, pay $1 million in legal fees to his attorneys, and issue a formal apology. The financial contribution is categorized as a “charitable donation,” though critics argue it blurs ethical lines.
At the heart of the lawsuit was a March broadcast of This Week with George Stephanopoulos, during which the anchor incorrectly claimed Trump had been “found liable for rape” in writer E. Jean Carroll’s lawsuits. While Trump was held liable for sexual abuse and defamation, New York law’s definition of rape did not apply to the jury’s finding.
Legal experts believe the case could have been contested further, but ABC opted to settle just days before court-ordered depositions of both Trump and Stephanopoulos were due to take place.
Political Fallout
The backlash was swift and bipartisan.
Critics from Trump’s own Republican Party expressed disappointment, with the conservative group Republicans Against Trump writing on social media, “People are not going to forget what ABC did.”
Democratic voices were equally dismayed. Attorney Marc Elias described the settlement as an act of submission, writing, “Knee bent. Ring kissed. Another legacy news outlet chooses obedience.”
Media analysts were quick to highlight the potential ramifications. Oliver Willis, a journalist, remarked, “This is actually how democracy dies,” while tech writer Matt Novak commented, “Not good for the rest of us when you do this s***, ABC.”
The Disney Factor
Disney’s ownership of ABC News has added a significant dimension to the controversy. The entertainment giant, which has frequently found itself at odds with conservative figures like Florida Governor Ron DeSantis, now faces questions about whether the settlement aligns with its broader corporate strategies.
“This isn’t just about ABC,” noted one media critic. “It’s about Disney making a decision to, in essence, pay Trump—whether indirectly or not. For a company that’s been painted as an enemy of conservative politics, this is a surprising and strategic move.”
Observers pointed out that Disney’s actions, even as the parent company, could influence ABC News’ editorial independence. “When a media outlet is part of a larger entertainment empire, there’s always the risk that corporate interests will outweigh journalistic integrity,” said a senior analyst at a media watchdog group.
Questions of Principle
Beyond the financial settlement, many legal experts are troubled by ABC’s decision to resolve the matter before taking Trump to deposition.
Former federal prosecutor Joyce Vance was particularly critical: “I’ve worked on cases where news organizations stood their ground and defended themselves, even when facing powerful figures. This is disappointing.”
Similarly, legal analyst Allison Gill expressed confusion over the decision, arguing that the network could have prevailed in court. “This is so gross,” she wrote. “The case wouldn’t have cost more than $15 million to fight, and ABC likely would have won. Why not depose him?”
Context of the Carroll Lawsuits
Trump’s defamation lawsuit against ABC News ties back to two verdicts involving E. Jean Carroll. In 2023, a jury found Trump liable for sexually abusing Carroll and defaming her, resulting in a $5-million judgment. Earlier this year, Trump was ordered to pay an additional $83.3 million for further defamatory remarks about Carroll. Trump denies the allegations and is appealing both cases.
Judge Lewis A. Kaplan, who presided over the initial Carroll case, clarified that while the jury did not find Trump liable for “rape” as defined under New York law, the broader interpretation of the term could still apply. ABC’s legal team argued that Stephanopoulos’ comments were “substantially true” based on Kaplan’s remarks, but the motion to dismiss Trump’s lawsuit was denied.
Legacy Media Under Pressure
The settlement reignites concerns about the role of major media organizations in navigating politically charged cases. Critics argue that the move signals a retreat from rigorous journalism, especially as legacy media outlets grapple with declining trust and increased competition from independent platforms.
“This isn’t just about a single settlement,” said human rights attorney Qasim Rashid. “It’s a reminder that profit-driven media companies are failing to uphold journalistic principles at a critical moment in history.”
For ABC News, and by extension Disney, the $15-million settlement is not just a financial agreement but a decision that may reshape its reputation—and its relationship with viewers—going forward.
