A federal judge has ordered former Overstock.com CEO Patrick Byrne to pay $1.7 million in punitive damages after finding that he repeatedly spread false allegations linking Hunter Biden to an Iranian bribery scheme.
The ruling delivers a sweeping legal victory for Hunter Biden, who argued that Byrne knowingly promoted claims that had no factual basis and continued doing so even after being sued.
U.S. District Judge Stephen Wilson concluded that Byrne engaged in “intentional misrepresentation” and acted with “conscious disregard” for Hunter Biden’s rights.
In a 25-page ruling, Wilson wrote that the evidence was “clear and convincing” that Byrne had deliberately spread false information and continued amplifying it despite mounting legal challenges.
The judge also found that Byrne encouraged his social media followers to further circulate the allegations, helping expand the reach of claims that the court ultimately determined were unsupported.
The lawsuit centered on Byrne’s repeated assertions that Hunter Biden had sought an $800 million bribe from Iran in exchange for influencing then-President Joe Biden to release frozen Iranian assets and ease pressure during nuclear negotiations.
Hunter Biden denied the allegations and argued that Byrne knowingly republished false accusations without evidence.
Wilson’s ruling was particularly harsh in its assessment of Byrne’s conduct.
According to the judge, Byrne’s actions “went far beyond mere negligence,” a finding that helped justify the substantial punitive damages award.
The court awarded Hunter Biden the symbolic $1 in nominal damages he requested, along with $1.7 million in punitive damages aimed at punishing Byrne’s conduct.
Wilson also ordered Byrne to pay nearly $35,000 in previously imposed sanctions within two weeks and warned that an additional $1,000 penalty would be added for every day the payment remains overdue.
“This is a complete vindication for Hunter Biden against the false statements made about him by Patrick Byrne,” Hunter’s attorney Bryan Sullivan said in a statement.
“As found by the court, Byrne had no basis to say that Hunter had any involvement with Iran whatsoever,” Sullivan added.
The ruling marks a significant defeat for Byrne, a longtime ally of Donald Trump who became widely known for promoting efforts to challenge the results of the 2020 presidential election.
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