Now this is going to hurt

Gawker Media itself was hit with a $15m judgment, while its owner, Nick Denton, was personally ordered to pay $10m in damages.

Gawker (whatever the holding company is called) will have insurance coverage of some sort. This may well go beyond the max of that but still: it’s a limited company. Denton however, there might be some insurance coverage for him as an officer of the company but again, it’s possible that this award goes over whatever the limits were. And that’s gonna hurt, personal cash going. And of course the company can’t pay it if the award stands, can it? And similarly his stake in the company is worth nothing if the award stands.

He did well out of First Tuesday but I wonder how much person dosh he actually has?

Turkel said Gawker Media’s gross revenues in 2015 were $48.7m and that founder Nick Denton has a total of $121m, including a $3.6m Manhattan condo. Gawker Media is worth $83m, the lawyers said.

That $121 million presumably includes his stake (majority?) in Gawker.

9 thoughts on “Now this is going to hurt”

  1. So Much For Subtlety

    Juries usually punish people from out of town. Denton is British, he went to Oxford, he is Gay and he is Jewish.

    So he is not just from out of town, he is from really out of town.

    Now some of that may have influenced the good jurors of St Petersburg, Florida. Some of it may not. They probably don’t care his mother was Jewish. But they will have googled Gawker and seen the trail of damage to people’s lives. It looks like they decided to punish Denton personally.

    An appeal will reduce it.

  2. Bloke in North Dorset

    Will insurance pay out given that this was “publish and be damned” after being warned?

  3. BiND: That makes it look suspiciously like setting fire to your own offices to terminate inconvenient ongoing contracts.

  4. I don’t understand the personal fine – doesn’t that undermine the whole concept of limited liability?

  5. @ Andrew M
    That is a personal damages award (not technically a fine) for a person committing a deliberate act – not as a shareholder but as an executive. Limitied liability applies to shareholders not being responsible for a company’s debts beyond their shareholding and any unpaid calls on the capital they subscribed – it has nothing to do with protecting individuals from criminal or civilliability for their personal actions.

  6. Couldn’t happen to a bigger bunch of psychotic cunts…

    These wankers aren’t just Gawker, its also Kotaku and Jezebel…

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