For now, Hogan is unable to collect from Gawker because his claims are halted during bankruptcy. Denton would enjoy the same protection while he’s in bankruptcy. That gives the company time to challenge the sex-tape verdict. If Gawker loses on appeal, sale proceeds would go to creditors -- including Hogan, whose real name is Terry Bollea.
‘Accept Responsibility’
“The time has come for Nick Denton to accept responsibility for the decisions he made and the rewards he reaped based on the suffering and humiliation of others,” David Houston, a lawyer for Hogan, said in a statement. “His bankruptcy has nothing to do with who paid Mr. Bollea’s legal bills, and everything to do with Denton’s own choices and accountability. If even one person has been spared the humiliation that Mr. Bollea suffered, this is a victory.”
Meanwhile, Denton is helping the company prepare for an auction this month. Ziff Davis has agreed to make a lead bid of $90 million and keep Denton on. Denton has testified that 15 parties have signed nondisclosure agreements -- a sign of serious interest -- since the Ziff Davis offer was announced and that he expects active bidding.
Oxford University-educated Denton started Gawker with a single blog out of his New York apartment in 2002. In addition to its flagship news and gossip site, the company also has sites devoted to cars, sports, technology and feminism.
“Gawker Media Group’s resilient brands and people will thrive under new ownership, when the sale closes in the next few weeks,” Denton posted Monday on Twitter. “On this bitter day for me, I am consoled by the fact that my colleagues will soon be freed from this tech billionaire’s vendetta,” he added, without mentioning Thiel by name.
The case is In re Denton, 16-12239, U.S. Bankruptcy Court, Southern District of New York (Manhattan).