In June, when Steve Beynon learned that a Canadian media company called Valnet was buying his employer, Military.com, he had no idea what that meant. “And then I googled them,” Beynon said. “And I was like, ‘Oh, this is the worst-case scenario.’”
As Beynon, who was the chair of the newsroom’s union, quickly learned, when Valnet acquires a media outlet, it typically lays off most of the staff and replaces them with contractors. Valnet recently sued TheWrap in US District Court in Delaware, alleging it was defamed by reporting on alleged exploitative labor practices at several of Valnet’s entertainment sites, including unrealistic work quotas and blacklists for those who complained. TheWrap has moved to dismiss the 64.5-million-dollar suit.
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