Judge Blocks Settlement, Further Complicates Alex Jones' Bankruptcy Case

A judge has blocked a settlement between families who sued Alex Jones over his false Sandy Hook claims, complicating the sale of his Infowars platform. The families can't agree on dividing future payments, further delaying the judgment enforcement against Jones and Free Speech Systems' bankruptcy proceedings.

A U.S. bankruptcy judge has halted a settlement involving families who sued Alex Jones over his infamous false claims concerning the 2012 Sandy Hook Elementary School massacre. The judge noted that the plan to divide the bankrupt conspiracy theorist's assets surpassed the court's authority.

This decision muddles the potential sale of Jones' Infowars platform. It highlights tensions between the families who secured $1.3 billion in Connecticut court and those awarded $50 million in Texas. Their proposed agreement planned for a 25% share of future payments for Texas families, with Connecticut families taking 75%. Judge Christopher Lopez dismissed this arrangement, citing the exclusion of Infowars' parent company, Free Speech Systems, from bankruptcy proceedings.

In the repercussions of previous legal rulings dubbing Jones' actions defamatory, Jones and Free Speech Systems entered bankruptcy in 2022. Despite the sale of Infowars being permitted, Lopez advocates for a straightforward sale of the company's equity, entirely owned by Jones, rather than piecemeal asset liquidation. This, along with the rejection of a previously backed sale to parody news site the Onion, underscores ongoing legal challenges.

(With inputs from agencies.)