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Stokes loses lawsuit

by JOHN STANG/Daily Inter Lake
| September 18, 2008 1:00 AM

Jury orders radio talk-show host to pay $3.8 million in defamation case

A Flathead County District Court jury ordered radio host John Stokes Wednesday to pay $3.8 million to Davar and Todd Gardner for slamming them with malicious false accusations on his show.

"I am so thankful for the verdict that the jury brought. It was all we hoped for and more. He [Stokes] has a message that he cannot do this kind of thing. He's learned there are consequences," Davar Gardner said.

His wife, Vicky, said: "We never want any other family to go through what we went through."

Davar Gardner added: "After suppressing [frustration and anger about the radio broadcasts] for so many years, it can eat on you. It's a relief."

Todd Gardner, Davar's and Vicky's son, said: "We feel relieved and ecstatic. We know we'll probably never see any of the money."

Meanwhile, Stokes said: "It seems a little excessive for three minutes of air time."

Stokes said he will appeal the verdict.

This three-day defamation trial was a spin-off from a 2001-2005 legal dispute between KGEZ owner and talk-radio-show host Stokes and the Gardners that had loose ends dangling until 2007.

KGEZ has two radio towers on 32 acres of easements on a 160-acre site, of which Doug Anderson and the Gardners each own segments.

Stokes had claimed his easements essentially gave him an ownership right over the entire 160 acres. The Gardners and Anderson disputed that in court, and won in 2005.

Stokes has criticized and accused the Gardners of wrongdoing for almost eight years during his morning talk radio show.

Whenever their names would pop up on the show, the Gardners - who own a recreation-vehicle store and an auction barn near KGEZ - would record the broadcast.

The Gardners filed a defamation lawsuit against Stokes for three broadcast statements he made in 2007. These were:

. The Gardners committed bank fraud by obtaining a $900,000 loan from Glacier Bank under false conditions.

. The Gardners lied under oath during the easement litigation.

. The Gardners submitted a false affidavit during the easement litigation.

Prior to the trial, both sides had agreed in writing that the accusations were made and were false, but then Stokes repeatedly testified Tuesday and Wednesday that the accusations were true and well-researched.

Glacier Bank's president, several legal and financial documents, several recordings of his broadcasts and sometimes his own testimony, however, repeatedly contradicted Stokes' trial stance.

After 75 minutes of deliberations, the jury ruled that Stokes had acted with malice in making false accusations over the radio. It awarded $900,000 each to Davar Gardner and Todd Gardner.

The jury also ruled that Stokes and his two defunct corporations - Z-600 Inc. and Skyline Broadcasting - are all the same entity and liable for the eventual $3.8 million in damages. During the trial, the Gardners' lead attorney, Robert Baldwin, argued that Stokes routinely plays a shell game with the defunct corporations, saying he is an officer or he is not an officer, depending on what is convenient for him at a specific time.

Stokes was not present when that verdict was announced.

Prior to the jury deliberations, Judge Katherine Curtis had ordered all parties to stay within a 20-minute drive of the courtroom so everyone would be readily available when the jury finished its deliberations.

But Stokes drove toward his home, which is several miles south of Bigfork.

After waiting 50 minutes after the jury was ready, Curtis ordered the verdict read without Stokes present.

Stokes arrived 80 minutes after the jury finished its malice-and-false-accusations deliberations. He was present during the short arguments-and-testimony session prior to the punitive damages deliberation.

During his punitive-damages testimony, Stokes said, "I don't think there're gonna be similar acts [of broadcast defamation against the Gardners]."

He said he would discuss the Gardners on the air "only if they keep harassing me with lawsuit after lawsuit." The Gardners have sued Stokes twice - on the easement matter and on the defamation claim.

If callers to his show ask him about the trial, Stokes said, "I will try to accurately portray the court record."

Stokes said: "There is absolutely no way" he could pay the $1.8 million. "I'll have to go out of business."

During the punitive arguments, Baldwin noted that on a court-ordered list of his holdings, Stokes recorded a $2.8 million mortgage as an asset.

Baldwin also cited a letter that Stokes sent to the Gardners during the easement litigation, saying he would sell his radio station and its 6.65-acre site to the Gardners for $5 million. Stokes' letter went on to say: "What are the risks of me moving my [station] and putting an adult book store and a strip joint on the property."

Stokes characterized that letter as an offer to compromise. Baldwin characterized it as a threat. The Gardners' auction barn and RV center are more-or-less neighbors to KGEZ.

The jury then deliberated 55 minutes before ordering an extra $2 million in punitive damages, bringing the total to $3.8 million.

Even then, a hitch appeared.

Stokes' attorney Gregory Paskell requested that the jury be polled on the $2 million punitive verdict. At least eight of the 12 jurors must agree on a civil case verdict.

But the jurors balked and left the courtroom. They sent a message to Curtis that they were nervous about Stokes being poised with pen and paper to write down their names and votes.

Stokes told Curtis: "I'm not gonna disclose any names."

The jurors then returned to the courtroom and were polled. Eleven of the 12 supported the $2 million punitive verdict.

Reporter John Stang may be reached at 758-4429 or by e-mail at jstang@dailyinterlake.com