The Insane Story of How the Onion Bought InfoWars (and How Alex Jones Is Trying to Steal It Back)

Summary

In a stunning turn of events, The Onion, in partnership with Sandy Hook plaintiffs, has purchased Alex Jones's Infowars out of bankruptcy. Despite Jones's objections and attempts to block the sale, the court-approved auction awarded the assets to The Onion, aiming to shut down the harmful platform and provide some financial justice to the victims of Jones's conspiracy theories. The Onion's bid, designed to fairly allocate the proceeds between the Texas and Connecticut plaintiffs, ensures that Jones's empire of hate speech is dismantled, turning Infowars into a parody of itself. This unprecedented deal marks a significant moment in the battle against disinformation.

Takeaways

• 😀 The Onion acquired Infowars’ assets in a bankruptcy auction, with support from the Sandy Hook plaintiffs.
• 😀 Alex Jones tried to block the sale, claiming that it violated his rights, but the bankruptcy court ruled in favor of the transaction.
• 😀 The Onion's bid was seen as a way to both remove harmful conspiracy content and benefit the Sandy Hook families financially.
• 😀 The bankruptcy trustee argued that the deal was beneficial for all creditors, maximizing value despite legal opposition from Jones.
• 😀 The Sandy Hook plaintiffs made significant sacrifices in the deal to ensure the Texas plaintiffs received a larger payout.
• 😀 Jones has filed multiple lawsuits in response to the sale, including one alleging First Amendment violations.
• 😀 Media coverage of the sale has been polarized, with left-leaning outlets celebrating the end of Infowars, while right-leaning outlets criticize the process.
• 😀 The Onion plans to transform Infowars into a parody of itself, using satire to expose and combat conspiracy theories.
• 😀 The legal battle over Infowars highlights the intersection of media, law, and public interest, particularly around harmful content online.
• 😀 The case demonstrates how media outlets like The Onion can play an active role in shaping public discourse and holding individuals accountable for their actions.

Q & A

How did The Onion acquire Infowars?

The Onion, in collaboration with the Sandy Hook plaintiffs, successfully acquired Infowars out of bankruptcy by winning the intellectual property auction for the company. The auction was managed by the bankruptcy trustee, and the Onion's bid was structured to maximize the value for the creditors, including the Texas and Connecticut plaintiffs.

Why did Alex Jones face defamation lawsuits from the Sandy Hook families?

Alex Jones faced defamation lawsuits because he falsely claimed that the Sandy Hook shooting was a hoax and that the victims' families were crisis actors. His comments led to years of harassment and distress for the families, prompting them to file lawsuits against him and his company, Free Speech Systems.

What role did the bankruptcy court play in the sale of Infowars?

The bankruptcy court was responsible for overseeing the auction process and approving the sale of Infowars' assets. The trustee, Christopher Murray, was tasked with selling Infowars' intellectual property and physical assets to the highest bidder. The court ultimately ratified the Onion’s bid, despite challenges from competing bidders.

What were the key components of the auction for Infowars' assets?

The auction was split into two phases. The first phase involved the sale of Infowars' intellectual property, including media assets, product rights, domain names, and customer lists. The second phase was the sale of physical assets, such as broadcasting equipment and company vehicles. The Onion won the auction for the intellectual property, while a second phase of the auction was canceled when the full package was sold.

How did the Onion’s bid differ from the competing bid from Fuac?

The Onion's bid was $1.75 million, but it included a unique clause that ensured the Texas Sandy Hook plaintiffs would receive $100,000 more than they would under Fuac's higher bid of $3.5 million. The Onion’s bid also focused on acquiring the intellectual property and did not bid on inventory, while Fuac’s bid included the entire inventory and physical assets.

What was the legal strategy behind the Onion’s bid?

The legal strategy behind the Onion's bid was to create a bid structure that would benefit both the Connecticut and Texas Sandy Hook plaintiffs. The Onion, along with the plaintiffs' attorneys, agreed to forgo part of their share to ensure that the Texas plaintiffs received a larger portion of the proceeds, helping to balance the fairness of the payout distribution.

How did the bankruptcy proceedings affect Alex Jones financially?

The bankruptcy proceedings did not allow Alex Jones to discharge the massive defamation damages he owed to the Sandy Hook families. The court ruled that the majority of the judgment amounts were non-dischargeable. Jones later converted his bankruptcy case from Chapter 11 (reorganization) to Chapter 7 (liquidation), meaning his assets were sold off to pay his creditors.

What were the reactions from Alex Jones and his allies to the sale?

Alex Jones and his allies reacted angrily to the sale, claiming the process was rigged and that the Onion was conspiring with the Sandy Hook families to steal Infowars. Jones publicly stated that he would fight the outcome and attempted to garner support for his case by claiming the sale violated his rights and that he would be saved by figures like Elon Musk.

How did the public and media react to the sale of Infowars to the Onion?

The media reaction was mixed, with most outlets covering the acquisition as a form of karmic justice, focusing on how the Onion aimed to shut down Infowars and its harmful conspiracy theories. The coverage was largely centered on the irony of a satirical news outlet acquiring a platform known for spreading misinformation. Some right-leaning outlets, however, criticized the bankruptcy court for rejecting a higher bid from Fuac.

What did the sale mean for the future of Infowars and Alex Jones?

The sale of Infowars marked a significant blow to Alex Jones’ ability to continue operating his platform in the same manner. The Onion, along with the Sandy Hook plaintiffs, planned to transform Infowars into a satirical and comedic site, thus limiting its potential to spread harmful conspiracy theories. However, Jones has continued to engage in legal battles, including lawsuits against the Sandy Hook plaintiffs.