“LET ME TELL YA SOMETHIN’ BROTHER… YOU DON’T COME AT THE HULKSTER WITH YOUR SEX TAPE POSTINGS AND GENERAL SHITTINESS AND GET AWAY WITH IT, NO BROTHER. SO WHAT YA GONNA DO, WHEN BANKRUPTCY RUNS WILD ON YOU?”
In direct response to having lost a $140 million judgement to Hulk Hogan (whose lawsuit was bankrolled by billionaire with a grudge Peter Thiel) for posting a sex tape in which he also used racial slurs, Gawker Media, which owns Deadspin among other cites, has filed for Chapter 11 bankruptcy.
Just a few hours ago, the Tampa Bay Times reported that the judgement was “pending a review from an appeals court with the condition that stock shares from the media company be used as security,” and Gawker’s defense attorney pledged 6,000 shares of Gawker from former editor (and local boy) A.J. Daulerio and 45 million shares from CEO Nick Denton. Their attorney also said paying the judgement would mean “certain financial ruin” for Daulerio and Denton. By filing for bankruptcy, they also delay the payment of the settlement.
According to the Hollywood Reporter about an hour ago, Gawker reports that it has “less than $100 million in assets and hundreds of millions in liabilities,” and has enlisted an investment bank to advise it on a possible sale. Since then, Gawker has already entered into an agreement to sell their media brands and assets to Ziff Davis (the publisher behind IGN, PC Magazine, Geek.com, and more). Though, Mediaite reports, “as they will be organizing the sale through a bankruptcy court auction, other companies could still jump in to make higher bids too.”
So what’s the lesson here? Don’t post someone’s private sex tape, even if they’re a public figure, especially if they’re Hulk Hogan, and doubly especially if you’ve got a pissed off billionaire trying to end you.