Despite the case being previously dismissed by a U.S. District Court, CACI will now be allowed to proceed in a defamation suit against Air America Radio and Randi Rhodes due to a recent federal Bankruptcy Court's ruling.
From BusinessWeek.com, January 2 2006:
Government contractor CACI International Inc. has won bankruptcy court approval to proceed with its defamation lawsuit against liberal talk radio network Air America and one of its hosts, Randi Rhodes.A federal bankruptcy court in New York ruled Thursday that the case could proceed despite the fact that Air America has filed for Chapter 11 bankruptcy protection. Under federal law, legal proceedings against a company are frozen when the company declares bankruptcy.
CACI International asked the bankruptcy court in November to allow its case to go forward, arguing that its claims against Air America are covered by an insurance policy and any damages would be paid out of that policy and not from the company's assets.The company sued Air America and its parent company, Piquant LLC, as well as Rhodes in the fall of 2005 for defamation. The suit stemmed from comments Rhodes made Aug. 25-26, 2005 on her radio show. According to CACI's complaint, she accused CACI employees of raping and murdering Iraqi civilians at Abu Ghraib prison, claims that CACI said were "false and defamatory."
CACI is seeking $1 million in compensatory damages and $10 million in punitive damages. A phone call to Air America seeking comment was not immediately returned.
A U.S. District Court dismissed the case, but CACI appealed that ruling. The bankruptcy court's decision allows the appeal to proceed.
Air America declared bankruptcy Oct. 13, but a company spokeswoman said last month that it was close to reaching a deal with a buyer.
Arlington, Va.-based CACI is an information technology consulting firm and gets most of its revenue from government contracts. A CACI subsidiary company provided civilian interrogators to the U.S. military in Iraq, the company acknowledged in its complaint.
Shares of CACI dropped 38 cents on Friday to close at $56.50 on the New York Stock Exchange.
Joshua Holland over at AlterNet also wrote more on this story.
URL for the summary judgment order:
http://forums.therandirhodesshow.com/caci_opinion.pdf
Actually, Dicky boy, Judge Lee smacked CACI down pretty hard in his order granting Rhodes's motion for summary judgment. You can read it, all 49 pages of it, at <forums>.
CACI has appealed. It's always possible to bleed more money from someone with an appeal of a frivolous lawsuit (which I thought conservatives were against). All that the bankruptcy court has done is allow the frivolous appeal of the frivolous lawsuit to proceed -- it certainly hasn't ruled on the merits of the appeal.
It just shows to go ya when you engage mouth before brain is ready....anything can come out of an empty can.
This time she got caught. Think of the many times she made it up as she went along and didn't.
Good for you CACI! Put the foot down, where it belongs , in her mouth