In a significant ruling, a federal appeals court on Wednesday struck down Mike Lindell’s controversial $5 million payout to a software developer. The business mogul, known for his MyPillow brand, previously made claims about foreign meddling in the 2020 presidential election that sparked scrutiny.
The decision was made by a three-judge panel from the United States Court of Appeals for the 8th Circuit, which ruled that an arbitration board had overstepped its bounds when it awarded the hefty sum to Robert Zeidman. This payout was linked to a challenge Lindell put out during a “Cyber Symposium” he hosted in South Dakota back in 2021, where he dared participants to challenge his allegations of Chinese interference.
Accepting Lindell’s challenge, Zeidman produced a comprehensive report disputing the claims. When judges of the contest failed to deliver the promised $5 million, Zeidman took the issue to arbitration.
Initially, the arbitration panel sided with Zeidman, but the appeals court found that they had misinterpreted the rules of the contest. The ruling noted that the event’s requirements clearly stated that participants needed to “unequivocally” disprove Lindell’s assertions.
Judge James Loken emphasized, “Whatever you think of the panel’s soundness, their decision does not align with Minnesota law.” He directed a lower court to annul the arbitration award, stating, “Fair or not, you can’t change agreed-upon contract terms.”
The arbitration board had agreed with Zeidman’s position that Lindell failed to provide necessary packet capture data, which Zeidman claimed demonstrated the evidence was not related to the 2020 election. Last year, a federal district judge supported the arbitration panel’s judgment, but the recent appeals ruling reversed this outcome.
According to Loken, the arbitration panel had essentially altered the clear terms of the challenge when they introduced additional criteria regarding the data, which conflicted with established contract laws in Minnesota and previous arbitration decisions. Consequently, the appeal resulted in a reversal of Zeidman’s motion for confirmation because the arbitrators went beyond their authority.
After the ruling, Lindell expressed relief and satisfaction with his legal victory. “It’s a wonderful day for our nation,” he told the Associated Press. “This is a significant win, paving the way for eliminating electronic voting machines in favor of hand-counted paper ballots.”
In response, Zeidman’s lawyer stood by the arbitration panel’s earlier decision, inviting the public to consider whether the Eighth Circuit’s ruling holds more weight than the unified conclusion reached by three arbitrators who evaluated the case entirely, including one chosen by Lindell himself.
MIKE LINDELL FACES $2.3 MILLION DEFAMATION AWARD TO DOMINION EMPLOYEE
This latest ruling follows just weeks after Lindell lost a separate defamation suit brought against him by a former Dominion Voting Systems employee, with a Colorado jury ordering him to pay $2.3 million to Eric Coomer, whom he accused of wrongdoing.
Lindell plans to appeal this decision as he navigates a different defamation case launched by Dominion in 2021, in which the voting machine firm is seeking a staggering $1.3 billion in damages.
