Bollea v. Gawker
| Company type | Private company |
|---|---|
| Industry | Digital media, Online publishing |
| Founder | Nick Denton |
| Defunct | 2016 (following bankruptcy and sale of assets) |
| Fate | Filed for Chapter 11 bankruptcy; assets sold to Univision Communications |
| Headquarters | United States |
Key people | Nick Denton (CEO) |
| Products | Gawker website, Deadspin, Gizmodo, Jalopnik, Jezebel, Kotaku, Lifehacker |
Bollea v. Gawker was a legal case initiated in 2013 within the Circuit Court of the Sixth Judicial Circuit located in Pinellas County, Florida, culminating in a verdict delivered on March 18, 2016. Terry Gene Bollea, professionally known as Hulk Hogan, a renowned wrestler, brought suit against Gawker Media, the publisher behind the Gawker website, along with related parties, for publishing segments of a sex tape featuring Bollea and Heather Clem, who was married to radio host Bubba the Love Sponge at the time. Bollea’s allegations included claims of invasion of privacy, violation of personality rights, and intentional infliction of emotional distress. His legal representatives contended that the case had significant implications for privacy protections generally, whereas Gawker’s defense underscored concerns about potential threats to freedom of the press in America.
Seeking $100 million in damages, Bollea ultimately received a jury verdict in March 2016 holding Gawker Media liable, with an award comprising $115 million in compensatory damages and an additional $25 million in punitive damages. Following this, Gawker filed for Chapter 11 bankruptcy protection three months later and announced its intent to sell assets. The majority of Gawker Media’s holdings—excluding its primary website—were acquired by Univision Communications. On November 2, 2016, Gawker reached a settlement with Bollea for $31 million.
Background
In 2006, Bollea was covertly recorded during a sexual encounter with Heather Clem; he asserted that this recording was made without his permission. On The Howard Stern Show, Bollea disclosed that he had engaged in relations with Heather Clem with the approval of her husband, Bubba Clem, attributing his actions to personal difficulties amid his divorce proceedings. He admitted awareness of Clem’s "alternative lifestyle" and described feeling "depressed" and ultimately yielding due to perceiving affection from those individuals.
Bubba Clem testified that he transferred the video onto a DVD labeled "Hogan," which he then stored inside a desk drawer.
On October 4, 2012, A. J. Daulerio, editor at Gawker, released a two-minute clip from the approximately 30-minute tape, which included about 10 seconds of explicit footage.
Preliminary injunction decisions
Initially, Bollea filed a copyright infringement lawsuit against Gawker in federal court and sought a temporary injunction with attorney Charles Harder representing him. However, U.S. District Judge James D. Whittemore denied this request, citing uncertainties regarding copyright ownership and possible fair use considerations given Bollea’s prior public discussion of his private life.
Subsequently, Bollea pursued legal action in Florida state court where Judge Pamela Campbell granted an injunction in 2013. Gawker challenged this order as a violation of First Amendment protections and refused to completely remove the content; instead they took down the video but provided links to external sites hosting it.
The injunction was paused pending appeal and was ultimately overturned in 2014 by the appellate court on grounds that it constituted unconstitutional prior restraint under the First Amendment. Despite attempts by Gawker to dismiss the lawsuit based on this decision, litigation proceeded toward trial.
Trial and verdict
During a trial lasting two weeks, a jury composed of six members—four women and two men—deliberated on the case. Gawker maintained that Bollea had voluntarily exposed aspects of his sexual life publicly; however, during cross-examination, former Gawker editor A.J. Daulerio conceded that showing Bollea’s genitalia lacked any legitimate "news value." Bollea argued that his statements during interviews were made as part of his wrestling persona rather than reflecting his private identity. Depositions revealed Daulerio initially stated he would not consider a celebrity sex tape newsworthy if the individual involved was younger than four years old—a remark he later withdrew.
On March 18, 2016, the jury sided with Bollea awarding $115 million in compensatory damages, including $60 million specifically for emotional distress. Three days later on March 21, an additional $25 million in punitive damages was imposed.
Responses to the verdict were mixed: some viewed it as an important check against intrusive media practices; others considered it narrowly focused without undermining free speech principles; meanwhile critics cautioned that such a substantial award might deter journalistic endeavors by allowing courts to determine what qualifies as newsworthy content.
Aftermath
Gawker CEO Nick Denton declared intentions to challenge the $140 million judgment through an appeal. In April 2016, Gawker Media submitted motions aiming to overturn the jury's decision, arguing that evidence had been withheld and that the jury received improper instructions regarding the concept of newsworthiness. Alternatively, they requested a reduction in damages, claiming the emotional and economic awards were disproportionate. Both of these motions were rejected in May 2016.
In a separate legal action during May 2016, Bollea initiated a lawsuit against Gawker for allegedly disclosing sealed court documents containing racial slurs, which were published by the National Enquirer and resulted in his termination from WWE. Gawker denied any role in this leak. Bollea was later re-contracted by WWE in July 2018.
Billionaire Peter Thiel, co-founder of PayPal and former member of the Facebook board, covertly financed several lawsuits against Gawker, including Bollea’s case, contributing approximately $10 million. Thiel described this financial backing as "one of my greater philanthropic things." The funding effort was initiated by Australian entrepreneur Aron D'Souza. Notably, Thiel had been publicly outed as gay by Gawker in 2007.
On June 9, 2016, Gawker sought a stay on the judgment pending appeal but acknowledged that it lacked the funds to cover the $140.1 million judgment or the $50 million appeal bond. The following day, Gawker filed for Chapter 11 bankruptcy protection and announced plans to sell its assets. Denton himself filed for Chapter 11 bankruptcy in August.
In August 2016, Univision Communications purchased Gawker Media's assets at auction for $135 million. This acquisition included six websites—Deadspin, Gizmodo, Jalopnik, Jezebel, Kotaku, and Lifehacker—none of which were implicated in Bollea’s lawsuit. The main Gawker site was excluded from the sale and was subsequently shut down. However, its article archive remained accessible online, and staff members were reassigned within Univision.
On November 2, 2016, Gawker Media and Bollea reached a settlement agreement for $31 million. This resolution ended all appeals and resulted in the removal of three articles from gawker.com, including the one concerning Bollea.
Following the verdict, Denton publicly condemned Thiel’s involvement but later, in 2025, conceded that Thiel’s actions precipitated a sale of Gawker Media that ultimately proved advantageous.
Additional legal actions ensued involving Hiscox Insurance, Cox Radio, Terry Bollea, Mike Calta (Mike Calta Show), and Matthew Christian Lloyd (formerly known as Bubba the Love Sponge on radio).