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Smartmatic Files $2.7 Billion Lawsuit Against FOX News, Rudy Giuliani, Sidney Powell; Democrats Ask Trump to Testify Under Oath at Impeachment Trial; Biden Delivers His 1st Foreign Policy Address. Aired 2:30-3p ET

Aired February 04, 2021 - 14:30   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


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[14:31:36]

BRIANNA KEILAR, CNN HOST: We do have another breaking story we are following this afternoon, and that is that a voting technology company has filed a lawsuit against FOX, pro-Trump attorneys, Rudy Giuliani and Sidney Powell. And it's alleging a campaign of disinformation that has jeopardized the company's survival.

I'm joined now by CNN senior media reporter, Oliver Darcy, and for the legal angles here, and there are many, Laura Coates, our legal analyst, back with us.

Oliver, first to you.

This is a company that became swept up in conspiracy theories around the 2020 election. What more are you learning?

OLIVER DARCY, CNN SENIOR MEDIA REPORTER: Yes. And deranged conspiracy theories.

Smartmatic, a voting technology company, has filed a lawsuit, a $2.7 billion lawsuit against FOX News, some of its hosts, Lou Dobbs, Maria Bartiromo, Jeanine Pirro, and the pro-Trump attorneys, Rudy Giuliani and Sidney Powell.

What they're alleging is that they worked in concert to wage a disinformation campaign against the company, a disinformation campaign that the lawsuit says has really endangered the existence, whether this company can even survive.

I talked to the CEO of the company, and he said they really had no choice but to file this lawsuit because he's not sure if they're going to be around in a few years.

He says that the -- this is like one tiny error. Right? This was a deranged conspiracy theory promoted on FOX week after week for a long period of time.

A period of time they should have known it wasn't true and that the hosts allowed this to be promoted by people like Rudy Giuliani and Sidney Powell. FOX is wanting to defend itself. They're calling it a meritless

lawsuit.

Sidney Powell dismissing it as well.

And we reached out to Rudy Giuliani but we haven't heard back from him quite yet.

KEILAR: We'll awaiting that.

Laura, how strong is this case, or is there a case that Smartmatic has here?

LAURA COATES, CNN SENIOR LEGAL ANALYST: There's a case, considering the second lawsuit in as many weeks about the same factual predicate.

The idea of a disinformation campaign, and how it tarnished reputations and how there could be a financial cost to these companies and being able to survive if you have this attachment, this scarlet letter that suggests somehow they are nefarious actors as opposed to conduit of people exercising their right to vote.

You have really a challenge that will go back to what similar is in the impeachment proceedings. The idea, is the big lie here or is it an issue where they'll be able to defend with truth?

That's the actual defense to a defamation case: Is there truth here? Is it the same thing as speech? Are you able to have a microphone up to these people coming on your show? Are you the simply the microphone that gives the platform or are you complicit in some way?

When it comes to Giuliani, Sidney Powell, you have the same theme appearing. You didn't argue these points in court because there was the oath.

You knew the consequences if you did so in terms of a court of law but you chose the court of public opinion to use your pulpit for this nefarious way.

There's one point in the lawsuit, pages. At one point, they actually say, the earth is round, two plus two is four, Joe Biden and Kamala Harris won the election.

That's how rudimentary they are making this case to talk about how basic it was to know that what they were spewing was inaccurate and it was actually deleterious to their ability to actually thrive as a company.

This is really what defamation suits are made of, frankly.

[14:35:02]

KEILAR: Laura, there are big names, some of FOX's biggest names named in this lawsuit, Maria Bartiromo, as well as Lou Dobbs.

I wonder -- because I was speaking with Oliver earlier -- there's -- has been in the case of another one, not named in this lawsuit, to my knowledge, Tucker Carlson, another of FOX's big names.

FOX had argued successfully that he couldn't be taken seriously. This was in a slander lawsuit that they were successful in rebuffering.

They said he couldn't be taken seriously, that the general tenor of his show should then inform a viewer that Carlson is not stating actual facts about the topics he discusses and, instead, is engaging in exaggeration and non-literal commentary.

That was a quote using -- borrow from the argument of FOX.

Then the judge went on about her findings, which were FOX persuasively argues that "given Mr. Carlson's reputation, any reasonable viewer arrives with an appropriate amount of skepticism about the statements he makes."

Even his employer was saying that he could not be trusted to tell the truth.

Is that kind of defense going to fly in the case of these other hosts who trafficked this -- these other hosts who be people who trafficked the information that Smartmatic is talking about in this lawsuit?

COATES: Well, first of all, look at that vote of confidence about the credibility of one of your own anchors. If you were essentially arguing this person should not be believed when marketing yourself as an information resource.

The fact it actually was litigated on that point does not bode well for that argument to be success until another context.

If you actually had to have a judicial ruling that would confirm whether you should find a news anchor credit worthy, or credible or not, then that already tells you this is a matter that a reasonable person is not going to be able to perhaps, perhaps, distinguish between truth from fiction, lies from actual alternative facts.

So the very idea here that the average consumer of information who is tuning in believes, I'm sure, there are guardrails in place, Brianna, where they wouldn't be able to say it if it is not true, or if it did not have indicia of newsworthiness or reliability, is the very thing that could undermine FOX's and other anchor's attempts to defend against this action.

Of course, defamation is about whether or not you have -- you have defamed somebody and lessened them in the eyes of the average person. Have they lessened their reputation or harmed them in some way?

If you've got to go all the way back to whether someone actually believes it in the first place, you are having a very uphill battle ahead of you.

KEILAR: All right. So much to play out here.

Laura, Oliver, thank you to you both. We do have some breaking news. House impeachment managers are now

calling President Trump to testify under oath next week. We're going to discuss his legal options next.

Plus, we're live from Capitol Hill as the House is set to vote on whether Congresswoman Marjorie Taylor Greene should be stripped of her committee assignments.

She just apologized publicly for some of the heinous conspiracy theories she's supported but she tried to blame the media. Is it going to be enough?

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[14:41:43]

KEILAR: Breaking news. With just days until President Trump's second impeachment trial begins, his legal team is just getting word that House impeachment managers want the former president to testify under oath.

Let's talk about this now with our CNN legal analyst, Elie Honig.

What are Trump's options in response to this request?

ELIE HONIG, CNN LEGAL ANALYST: Yes, Brianna. The House impeachment managers are really putting Donald Trump in a tough position here. Let's walk through his options are.

Today, what he got was a polite invitation to testify. Now, he can say, sure, I'll be there, I'll testify.

But as Jake Tapper said earlier, that would be disastrous. No reasonable attorney would allow their client to do that.

If he was my client, I would tackle him before he went into the well of the Senate and took an oath and testified.

He can say, no thank you, I'll not be there. If that happens, and I think that's more likely, now it's back over to the House impeachment managers.

They can either subpoena him or not. If they subpoena him, now it's a formal command --

KEILAR: I'm so sorry to interrupt you, Elie.

We have to go to the State Department ahead of the speaking there.

Let's listen in.

ANTONY BLINKEN, SECRETARY OF STATE: --commitment to the American people, expertise in foreign policy, his steadfast belief in diplomacy, and his rock-solid support for our diplomats and development experts. I've seen him on the Hill, in the Oval Office, in distant world

capitals, from Baghdad to Bagram, Paris to Pretoria, and visiting our troops, our diplomats, all the men and women representing this country.

And I can say without fear of contradiction that, in the history of the presidency, no one has brought as much foreign policy experience to the job as Joe Biden.

Wherever he goes, he's been a champion for American leadership, and a defender of American values.

And in Kamala Harris, he has a vice president, we have a vice president, with a long track record of standing up for the security of the American people and an abiding commitment to using diplomacy to advance our interests and defend our values around the world.

At this moment of unprecedented global challenge, it's more important than ever that the United States show up and lead, because the world simply doesn't organize itself to solve big problems. And the well- being of the American people hangs in the balance.

We need diplomacy to get the pandemic under control worldwide, to save American lives, and livelihoods.

We need diplomacy to address the climate crisis, to protect communities across our country.

We need diplomacy to check the rise of authoritarianism, to prevent the spread of dangerous men, to shore up democracy, to defend human rights.

All of which makes the world more stable, and free, and all of which protects the security and prosperity of the American people.

Foreign policy is domestic policy. And because our strength at home determines or strength in the world, domestic policy is foreign policy, too.

President Biden and Vice President Harris know this better than anyone. That's why they believe so strongly in the work that we do at the State Department.

[14:44:58]

And they've made it clear that the first question we must ask ourselves here at state is: How will this benefit our fellow Americans? How will this policy answer their needs? How will this outreach reflect their values? How will this initiative make their lives just a little bit better?

We're going to hold ourselves to that standard every step of the way. President Biden and Vice President Harris have come here today, at the very start of their administration, to make sure we know that we have their support.

And that means a great deal to all of the men and women of the State Department.

We will do our best, Mr. President, Madam Vice President, to make you proud.

And with that, it is my pleasure to introduce the president of the United States, Joe Biden.

JOE BIDEN, PRESIDENT OF THE UNITED STATES: Mr. Secretary, it's great to be here with you. And I've been looking forward a long time to be able to call you Mr. Secretary.

Good afternoon, everyone.

It's an honor to be back at the State Department under the eyes of the first American chief diplomat, Benjamin Franklin.

And by the way, I want you all to know in the press I was the Benjamin Franklin professor of presidential politics at Penn and I thought they did that because I was as old as he was, but I guess not.

Anyway, all kidding aside, it's great to be here and stand alongside our most recent senior diplomat, Secretary Tony Blinken.

Mr. Secretary, thank you for welcoming us today. We've worked together for over 20 years. Your diplomatic skills are respected equally by your friends and our competitors around the world.

And I know when you speak, you speak for me.

And so, so is the message I want the world to hear here today: America is back. America is back. Diplomacy is back at the center of our foreign policy.

As I said in my inaugural address, we will repair our alliances, engage with the world once again. Not to meet yesterday's challenges, but today's and tomorrow's.

American leadership must meet this new moment of advancing authoritarianism, including growing ambitions of China and determination of Russia to damage and bankrupt our democracy.

We must meet the new moment accelerating global challenges, from the pandemic to the climate crisis, to nuclear proliferation. Challenging the will only to be solved by nations working together and in common.

We can't do it alone. That must be the, we must start with diplomacy. Rooted in America's most cherished democratic values. Defending freedom. Championing opportunity. Upholding universal rights. Respecting the rule of law. And treating every person with dignity.

That's the grounding wire of our global policy. Our global power. That's our inexhaustible source of strength. That's America's abiding advantage.

Though many of these values have come under intense pressure in recent years, even pushed to the brink in the last few weeks, the American people are going to emerge from this moment more determined and better equipped to unite the world democracy because we have fought for it ourselves.

Over the past few days, we've been in cooperation with allies and partners to bring together the international community to address the military coup in Burma.

I've also been in touch with Leader McConnell to discuss our shared concerns about the situation in Burma. And we are united in our resolve.

There can be no doubt in a democracy, force should never seek to overrule the will of the people or attempt to erase the outcome of a credible election.

The Burmese military should relinquish the power they have seized, release the advocates and activists and officials they have detained, lift the restrictions in telecommunications and refrain from violence.

As I said earlier this week, we will work with our partners to support restoration of democracy and the rule of law and impose consequences on those responsible.

[14:50:03]

Over the past two weeks, I spoke with leaders of many of our closest friends -- Canada, Mexico, the U.K., Germany, France, NATO, Japan, South Korea -- to being re-forming habits of cooperation and rebuilding the muscle of democratic alliances that have atrophied over the past few years of neglect, and I would argue, abuse.

American alliances are our greatest asset. And leading with diplomacy means standing shoulder to shoulder with our allies and key partners once again.

By leading with diplomacy, it also means engaging our adversaries and our competitors diplomatically where it's in our interest to advance the security of the American people.

That's why, yesterday, the United States and Russia agreed to extend the New START treaty for five years, to preserve the only remaining treaty between our countries, safeguarding nuclear stability.

At the same time, I made it clear to President Putin, in a manner very different from my predecessor, that the days of the United States rolling over in the face of Russia's aggressive actions, interfering in our elections, cyberattacks, poisoning its citizens are over.

We will not hesitate to raise the cost on Russia and defend our vital interest and our people.

And we will be more effective in dealing with Russia when we work in coalition and coordination with other like-minded partners.

The politically motivated jailing of Alexei Navalny and the Russian efforts to suppress freedom of expression and peaceful assembly are a matter of deep concern to us and the international community.

Mr. Navalny, like all Russian citizens, is entitled to his rights under the Russian constitution. He's been targeted, targeted for exposing corruption. He should be released immediately and without condition.

We'll also take on directly the challenges posed by our prosperity, security, and democratic values by our most serious competitor, China.

We'll confront China's economic abuses, counter its aggressive coercive action to push back on intellectual human rights, and global governance.

But we are ready to work with Beijing when it's in America's interest to do so.

We will compete from the position of strength by building back better at home, working with our allies and partners, renewing our role in international institutions, and reclaiming our credibility and moral authority, much of which has been lost.

That's why we moved quickly to begin restoring American engagement internationally and earn back our leadership position, to catalyze global action on shared challenges.

On day one, I signed the paperwork to rejoin the Paris climate agreement. We're taking steps, led by example, of integrating climate objectives across all of our diplomacy and raise the ambition of our climate targets.

That way, we can challenge other major emitters to up the ante on their own commitments.

I'll be hosting climate leaders' summit to address the climate crisis on Earth Day of this year. America must lead in the face of this existential threat.

And just as with the pandemic, it requires global cooperation.

We've also reengaged with the World Health Organization. That way, we can build better global preparedness to counter COVID-19, as well as detect and prevent future pandemics. Because there will be more.

We've elevated the status of cyber issues within our government, including appointing a first national deputy national security adviser for cyber and emerging technology.

We're launching an urgent initiative to improve our capability readiness and resilience in cyber space.

Today, I'm announcing additional steps to course-correct our foreign policy and better unite our democratic values with our diplomatic leadership.

To begin, Defense Secretary Austin will be leading a global posture review of our forces so that our military footprint is appropriately aligned with our foreign policy and national security priorities.

[14:55:07]

It will be coordinated across all elements of our national security, with Secretary Austin and Secretary Blinken working in close cooperation.

And while this review is taking place, we'll be stopping any planned troop withdrawals from Germany.

We're also stepping up our diplomacy to end the war in Yemen, a war which has created humanitarian and strategic catastrophe.

I have asked my Middle East team to ensure our support for the United Nations'-led initiative to impose a ceasefire, open humanitarian challenge, and restore long, dormant peace talks.

This morning, Secretary Blinken appointed Tim Lenderking, a career foreign policy officer, as our special envoy to the Yemen conflict. And I appreciate him for doing this.

Tim has lifelong experience in the region and had worked with the U.N. envoy and all parties of the conflict to push for a diplomatic resolution.

And Tim's diplomacy will be bolstered by USAID working to ensure that humanitarian aid is reaching the Yemeni people who are suffering unendurable devastation.

This war has to end. And to underscore our commitment, we are ending all American support for offensive operations in the war in Yemen, including relevant arm sales.

At the same time, Saudi Arabia faces missile attacks and other attacks from Iranian-supplied forces in multiple countries. We're going to help Saudi Arabia to defend its territory and its people.

We also face a crisis of more than 80 million displaced people suffering all around the world.

The United States' moral leadership on refugee issues was appointed bipartisan consensus for so many decades when I first got here.

We shine the light of lamp of liberty on oppressed people. We offered safe havens for those fleeing violence or persecution. And our example pushed other nations to open wide their doors as well.

So today, I'm approving an executive order to begin the hard work of restoring our refugee admissions program to help meet the unprecedented global need.

It's going to take time to rebuild what has been so badly damaged. But that's precisely what we're going to do.

This executive order will position us to be able to raise the refugee admissions back up to 125,000 persons for the first full fiscal year of the Biden/Harris administration.

And I'm directing the State Department to consult with Congress about making a down payment on that commitment as soon as possible.

And to further repair our moral leadership, I'm also issuing a presidential memo to agencies to reinvigorate our leadership on the LGBTQ issues and do it internationally.

We are making sure to promote the rights of those individuals by combating criminalization and protecting the LGBT refugees and asylum seekers.

Finally, to assert our diplomacy and keep Americans safe, prosperous, and free, we must restore the health morale of our foreign policy institutions.

I want the people who work in this building and our embassies and consoles around the world to know I value your expertise and I respect you and I will have your back.

This administration is going to empower you to do your jobs, not target or politicize you.

We want a rigorous debate that brings all perspectives and makes room for dissent. That's how we'll get the best possible policy outcomes.

So with your help, the United States will again lead not just by the example of our power but the power of our example.

That's why my administration has already taken the important step to live up to our domestic values at home, our democratic values at home.

Within hours of taking office, I signed an executive order overturning the hateful discriminatory Muslim ban, reversed the ban on transgender individuals serving in our military.

[14:59:56]

And as part of our commitment to truth, transparency, and accountability, we stated on day on -- we started on day one with daily briefings of the press from the White House. We've reinstituted regular briefings here at state and at the Pentagon.