A company that helps detained immigrants secure bail bonds wants Buzzfeed to pay at least $5 million for defamation, according to a lawsuit filed Saturday.
Libre by Nexus, based in Virginia, sued Buzzfeed and editor-in-chief Ben Smith in U.S. District Court for the District of Columbia over a story published on the news website last year. The company alleges the article was "replete with false and defamatory statements," and honed in on a statement that federal immigration officials investigated the company for fraud. Libre by Nexus is the subject of criticism and lawsuits by immigrant rights activists and former clients who claim it deceived them.
The company is represented by John Shoreman of D.C. firm McFadden and Shoreman.
"The defamatory statements tend to injure Nexus in its business trade as the allegations call into question the proper operation of Nexus' business," the company's complaint said. "Additionally, the statement subjects Nexus to distrust, scorn, ridicule, hatred, and contempt."
In an emailed statement, a representative for parent company Nexus Services Inc. said the damage done to Nexus is "incalculable given the countless time spent combatting the defamatory material published by Buzzfeed."
"The journalistic malpractice committed by Buzzfeed caused others to repeat this misinformation in social media, blog postings, and other publications," the representative wrote. "Buzzfeed certainly knew that publishing this defamatory material would lead to its wide distribution. The company's policy is to aggressively defend its reputation, and is considering legal action in other instances of defamatory publications."
Buzzfeed News spokesman Matt Mittenthal said in an email the lawsuit lacks merit.
"This entire lawsuit is based on one sentence in our story backed up by public, government documents which clearly states that the investigations into Libre were closed," Mittenthal said. "By any standard, this is obviously not defamatory, and makes this lawsuit likely to fail."
Buzzfeed reporter Alfondo Flores wrote the article, though he is not a named defendant in the lawsuit. The story, titled "Immigrants Desperate To Get Out Of US Detention Can Get Trapped By Debt," details Nexus' business model and concerns about its ethics. The company helps detained immigrants post bond by requiring them to wear a GPS device on which they pay a monthly fee. The Nexus' website said the typical amount "paid is roughly 20% of the bond."